Many Americans are struggling to keep up with rising prices and high interest rates, resulting in a significant increase in credit card debt. A recent report from Bankrate reveals that nearly 37% of credit cardholders have either maxed out or are close to maxing out their credit cards since the Federal Reserve began raising interest rates in March 2022. The primary reasons cited for this financial strain include escalating costs of living, job or income loss, emergency expenses, medical bills, and excessive discretionary spending. Among the generations, Generation X, particularly those in their 40s and 50s, is most affected, with 27% reporting maxed-out credit cards. This demographic, often referred to as the "sandwich generation," is under immense pressure to support both aging parents and their own children while facing skyrocketing costs in education and healthcare. As they navigate these financial challenges, the outlook remains concerning for many in this age group.
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