Question of the Day: What is the total amount of U.S. credit card debt and what is the average balance per customer?
We all know we should pay off our credit cards, so why are we accumulating debt in record numbers?
- Total U.S. credit card debt: Over $1 trillion
- Average debt per customer: $5,900
- Why do you think it’s important for individuals and the economy as a whole to pay attention to credit card debt levels?
- What are some of the reasons people accumulate credit card debt?
- What are the consequences of carrying a high credit card balance? How can it affect a person's financial well-being?
- What steps can individuals take to avoid or reduce credit card debt?
Behind the numbers (from CBS News):
"Credit card debt in the U.S. hit an expensive milestone this week. Nationwide, it surpassed one trillion dollars for the first time ever. That’s according to new data provided by the Federal Reserve Bank of New York. The average balance was just over $5,900 per customer in the second quarter of 2023.”
Here's a teacher (and student) favorite activity in the Managing Credit unit, Interactive: FICO Score Simulation, where students will have opportunity to see what factors impact a credit score.