An increasing number of people in Texas are facing significant credit card bills that they may find themselves unable to pay. This is especially true after a change in financial circumstances, such as the loss of a job or a serious illness that incurs medical bills. Across the country, 83 percent of American adults have at least one credit card, but the average person has three. There is over $1.04 trillion of credit card debt in the United States, an increase from $857 billion in 2013. On average, American consumers have $5,331 in credit card debt in 2019, and most people don’t pay off their full bill every month.
Credit card debt often varies by age. Younger and older Americans are less likely to have more extensive revolving personal debt, but members of Generation X and the baby boom generation are more likely to accumulate more significant debt. Of course, these are the ages at which people also have the highest income, so they may be the best placed to repay their outstanding debt. On the other hand, retired people on a fixed income may struggle to pay off their cards.
According to the Federal Reserve, most Americans are unable to pay off their credit card balances completely every month. While 45 percent of people always pay off their cards, the majority of people retain a balance at least some of the time. However, most people are trying to deal with their debt: 85 percent of Americans said that they actively want to decrease their debt.
Some people face particular difficulties repaying their credit card bills, especially if their circumstances change after acquiring the initial debt. People looking for a path to debt relief might want to consult with a bankruptcy lawyer about Chapter 7 or Chapter 13 bankruptcy as a means to a new financial future.
