If you are wondering “How much debt is too much?”, let’s look at some warning signs that your debt is the wrong sort of debt, or too much debt, or otherwise out of control (or heading that way).
The goal isn’t to panic, or feel bad about our decisions, our bad luck, or how unfair the world can be. The goal is to take more effective control of our finances. That means figuring out what parts we can control and what taking better control could look like.
Read MoreTotal debt by state has increased over the years. In general, state debt increases due to spending habits or a decrease can come from income sources, such as taxes. Keep reading to find out in detail what’s the debt situation in all 50 states today.
Read MoreConsumer debt is any personal debts that are taken out for the purpose of purchasing household goods. Examples of consumer debt include mortgages, credit card debt, student loans, and personal loans. Total consumer debt in America has now reached more than $14 trillion. How did we get in this state?
Read MoreThe student loan debt crisis has been a popular topic for quite some time, and with good reason. With Americans owing almost $2 trillion in student loan debt, it is a tough subject to ignore. With the 2020 Presidential race going strong, it is no surprise to see the majority of candidates offering their idea of a solution for this problem. In order for any of the plans to work, the candidate and the voters need to understand this problem on a deeper level.
Read MoreWhat the heck is a zombie debt? I’m so glad you asked because I truly love the word zombie and you just gave me another reason to use it. Zombie debt occurs when debt collectors bring a debt back from the dead. A dead debt refers to an old debt that you no longer have legal responsibility for because the statute of limitations ran out on it. It did not just fall of your credit report. You legally no longer owe the money.
Read MorePaying off your consumer debt can be one of the best ways you can improve your financial situation. Once you have paid off your debt, you also are finished paying interest to your creditors and have debt free living. The money that you were paying in interest can then be used for other items. Paying off debt can also help your credit score, which makes it easier to borrow in the future for purchases that can improve your net worth, such as buying a home. While paying off debt isn’t easy, it can be harder if you make some mistakes during the process.
Read MoreWhen you consolidate debt, you are rolling all of your debt into one payment. You take out your debt, add it together for your total, make settlements to shave off some of the total cost, and finally roll them all into one bill. And almost always, you are decreasing the amount you are paying each month while getting interest off of your back.
Read MoreFour times a year, the Federal Reserve Bank of New York, one of the twelve regional Federal Reserve Banks making up “The Fed” (along with their Board of Governors in Washington, D.C.), issues a report on the nation’s economy. Several reports, actually, including one focused on household debt across the country. These are some of the most valuable sources we have regarding U.S. debt statistics, and while they can seem a bit overwhelming at times, there’s much worth noticing in these reports.
Read MoreDebt, whether individual consumer debt, business debt, or even national debt, is a tool. When it serves your purposes, it’s a very useful and flexible tool. When it somehow takes over or derails your plans, it can be a tough beast to kill. Understanding debt is the first step towards giving ourselves the power to determine which way it plays out.
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