Many Americans are grappling with credit card debt, with 50% of cardholders carrying a balance month to month, the highest rate since March 2020. Economic pressures, particularly inflation and rising interest rates, are pushing more people into debt, with 34% citing inflation and 32% pointing to high interest rates as significant burdens. The trend is particularly pronounced among younger generations, with 42% of Gen Z, 53% of millennials, and 60% of Gen Xers holding balances. The average credit card debt now stands at $6,218, and many debtors are feeling less confident about their ability to pay it off. A staggering 60% of those in debt have been carrying it for over a year, indicating a troubling trend of prolonged financial strain. Experts suggest that to tackle this debt, individuals should consider budgeting, reducing expenses, and possibly utilizing balance transfer cards to manage high-interest rates. The situation requires careful planning and action to regain financial stability.
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