Do you remember during the recession when it was actually trendy to cut up your charge cards and get out of debt?
Well, that fad wore off rather quickly, didn’t it?
Americans have since resorted to their free-spending ways, and now total debt in the US has hit a new all-time record.”
Over the past several years, 6-year-term loans have become the norm for financing cars, according to Experian Automotive.
And subprime loans to business have skyrocketed – at rates equal to as much as 125% per year, when the fees are included. (You read that right – 125%.)
Borrowing creates the illusion that we can afford a better lifestyle than we really can. And sooner or later, the chickens will come home to roost. It’s never pretty when that happens.