It’s becoming more and more common for people in Tennessee and beyond to encounter financial challenges in life. Many households include one or more members who are facing substantial credit card debt. Analysts say that, overall, people in the United States have lowered their debt in recent years. However, there appear to be trends among certain generations.
Millennials owe less than older folks
In 2020, the average millennial owed just under $5,000 in credit card debt. This amount is significantly lower, however, than Gen Xers, who owed close to $7,000 on average last year. Baby boomers reportedly fall in between the two other generations when it comes to how much debt they carry. Last year, the average boomer owed close to $6,000 on credit cards.
Could it be that people simply aren’t opening new accounts?
Some analysts say that fewer people signed up for new credit cards last year than in years past. Not owning a credit card, of course, is not the same as owning one but not running up a balance. Overall, though, even with fewer new cards in circulation, the average adult in the United States has incurred less debt in 2021 than in 2020.
What if debt has gotten out of hand?
Once there is an unpaid balance, credit card debt can easily start to snowball. Especially if a person is only able to make minimum monthly payments, interest may continue to add to the overall amount that is owed. If a person in Tennessee or elsewhere determines a need for additional debt relief support, he or she may want to explore options that include filing for bankruptcy, which can not only help to bring immediate financial relief but can also help lay the groundwork for restored financial stability down the line.