Debt Facts
In 2003, almost one and a third percent of US househoulds (about 1,650,000) filed for bankruptcy, indicating that bankruptcy may not have quite the stigma attached to it as in other parts of the world.Somehow, the USA, with a population of about 294 million, managed to have over a billion credit cards in issue. That's over 4 cards for every man women and child. About 20,000 different cards are on offer from suppliers.Those credit cards, together with debit cards, account for a quarter of ALL personal expenditure in the US.Debt is a fairly recent phenomenon. Before the 1930's, most people couldn't borrow, even to finance property, and either rented homes or built them from scratch. Nowadays, mortgage debt runs in the trillions.
Personal debt excluding mortgages is about $19k per household on average, over half of which is on credit cards, a figure that is triple the statistic of 1990.Nowadays, over 40% or US families routinely spend more each year than they earn. The difference? Financed by debt.Convenient to use? That credit card convenience ends up costing the average Joe 12% more than paying by cash.If you only ever pay the 2% minimum monthly payments, each $1000 you owe will take nearly 22 years to repay and will add a further ?2,300 to the bill, meaning you effectively pay $3,300. Despite this being common knowledge, almost 60% of credit card users DON'T pay their credit card bills in full each month. This reliance on high interest credit cards means that the average US family pays about $1,200 in interest on their cards each year, at an average APR of 18.9%.90% of Americans 'are not concerned' by their credit card debts, although about 50% of them would refuse to tell a friend how much they owe.A quarter of adult Americans have 'maxed out' a card at some time or other.A tenth of them have been hounded by collection agencies for late payment, the same amount as have gone at least 30 days overdue on their credit card bills.The typical US student has 7 credit cards, and a significant percentage of them (over 10%) owe $15,000 or more on them.Credit cards encourage you to spend more. In surveys, it was found that paying for junk food with a card as opposed to cash led to a 50% increase in spend.
You want fries with that?Far from becoming rich, the average middle aged US citizen is only worth about $40,000, and that INCLUDES any equity in their homes. The rest of it belongs to banks and lending institutions. This reflects the drop in personal savings, down from 8% of income to less than 1% in 2004, thanks mainly to the poor returns on savings accounts, and the easy availability of credit.In 2002, the sum total in card fees for the US credit card sector was $45 billion. It is expected to top $60 billion by the end of 2004. Whichever way you look at it, the credit card business is enormous, and has a sincerely vested interest in getting you into debt, then keeping you there..
Ian Young is a debt counselor working for www.nodebtever.com a free debt relief site.Insolvency, Bankruptcy and the IVA: the Truth Behind the Worst Ever Levels of Personal Debt
(ContentDesk) November 5, 2005 -- The number of personal bankruptcies has gone up by 32 percent and IVAs by 98 percent, the DTI announced on Friday. In the third quarter of 2005, 12,256 people went bankrupt and 5,754 entered into an IVA (Individual Voluntary Arrangement). And the DTI doesn't know why this is happening. But The Debt Counsellors do..."The Department of Trade and Industry might not know why bankruptcy and IVA levels are so high but those working in the debt help industry do," says John Porter, a senior counsellor at The Debt Counsellors (see http://www.debtcounsellors.co.uk).The DTI wants to explain why so many people can't pay their debts. They have commissioned surveys, made models of business start-up rates, spoken to Bankers about their lending policies and written reports with lots of colourful graphs.
Who knows how much all...
Insolvency, Bankruptcy and the IVA: the Truth Behind the Worst Ever Levels of Personal Debt
Bankruptcy > Insolvency, Bankruptcy and the IVA: the Truth Behind the Worst Ever Levels of Personal Debt
A Guide To Bad Credit Home Equity Loans
You can obtain a home equity loan even if you have faced bankruptcy or have a bad credit rating. There are institutions that cater to this segment, however, interest rates and terms are likely to be stiffer. Additional fees also could be charged. The lender may offer high down payment and lower interest burden or vice versa. Loans with both fixed interest and variable interest are available.
The maximum repayment time may be up to thirty years.
Usually lenders depend on reports by credit rating agencies like TransUnion, Equifax, and Experian, together known as FICO, to evaluate an individual's credit rating on a scale of 300 to 900. The factors considered by these agencies include, past payment history, recent credit applications, and outstanding debt. A score below 600 indicates that you are in the bad risk group. It is possible that the rating of the same person given by each FICO agency differ. Some lenders score in the middle range.
There are ways...
Bankruptcy > A Guide To Bad Credit Home Equity Loans
Diamond Solitaire Engagement Rings
So, you're ready to pop the question? Getting engaged is a once in a life time occasion and you want everything to be perfect. The right atmosphere, romantic setting and of course the perfect ring are essential. The ring has to be special enough to sweep her off the feet, the same way you did while courting her. Nothing will impress her more than buying her a magnificent, dazzling diamond solitaire ring.
Engagement rings account for almost thirty percent of diamond jewelry sales....
Bankruptcy > Diamond Solitaire Engagement Rings