The good news is our use of credit cards has declined in recent years, perhaps due to the sobering effect of the economic downturn. More households now report that they do not use credit cards.
That good news doesn’t extend to students, however. According to creditcards.com, a whopping eighty-four percent of the student population overall have credit cards, an increase of approximately 11 percent since the fall of 2004.
Robert Manning, author of Credit Card Nation, wrote in a January 2010 Washington Post article that, unlike during the Great Depression, Americans today are more dependent on credit than on savings. Perhaps the current economic crisis will serve as a wakeup call for this generation to get its financial house in order.
It is my hope that this blog can help to illuminate issues surrounding credit and debt and create a dialog around these issues. According to a survey done by creditcards.com card.com, credit card debt is the new taboo topic. Let’s break that silence and take a look at some topics that may help to shed some light on how we became a nation of borrowers and what we can do about it.
Please click here to go to the quiz of the week, "Do you really know your credit card?"
Please scroll down to the bottom of the page below the comments section and vote in the poll. I plan to create reader polls from time to time. I will publish the results of polls after the deadline for voting in the poll has passed.
And now.............a little debt humor.
Please click here to go to the quiz of the week, "Do you really know your credit card?"
Please scroll down to the bottom of the page below the comments section and vote in the poll. I plan to create reader polls from time to time. I will publish the results of polls after the deadline for voting in the poll has passed.
This blog is prepared by a paralegal student as a class project, without compensation. The content of this blog contains my opinion, and is offered for personal interest without warranty of any kind. Comments posted by others on this blog are the responsibility of the posters of those messages. The reader is solely responsible for verifying the content of this blog and any linked information. Content, sources, information, and links will most likely change over time. The content of this blog may not be construed as legal, medical, business, or personal advice.
Hello Jane,
ReplyDeleteI think your topic is so timely right now as there are so many students who owe $20,000 to $30,000 for degrees at a particular career college in dayton (NOT SINCLAIR). I think it is outrageous that these students have such debts for degrees that are not worth the paper they are printed on.
I also believe the credit card industry is always trying to find news loopholes to add fees, and they can be quite deceptive about due dates.
Great subject--I will be following this for sure!
Laura Salerno
Jane,
ReplyDeleteDefinitely a hot topic right now considering that everyone is feeling the effects of the economy right now. Students have to deal with a lot of financial stress as well as other everyday life stress. I think this completely takes away from the focus that most students would like to have on their education. Credit cards seem like a tremendous out and quick fix even when you have money to pay for things. Everyone says you have to have good credit, so one of the best ways to gain credit is by racking up those credit cards and paying them off. At least I'm sure most of us younger folks think so, the swipe of a card has become more convenient than the rustling of dollar bills. Our economy is in a huge struggle still, a lot of American's both young and old need to take this time to get a grip on their finances. Great blog, look forward to next weeks post!
Kenneth Dunaway
Hey Jane!
ReplyDeleteGreat post and a timely topic! People forget that the credit card industry is in the business of making money and that companies will do whatever it takes to get our money. They are not out to make it convenient (though that gets customers signing up for cards), but to get money through interest and fees. It is no wonder that heavy fees, high interest rates, and unwise/emergency spending has put so many Americans deeply in debt. I look forward to future equally thoughtful posts.
-Amanda
Hi Jane...A great post for such a timely and critical subject, especially in the throes of the economic downturn this nation is in. The cost of debt, be it from credit cards, school loans or other types of debt can be staggering as the numbers suggest. Having been one of those Americans who has struggled with credit card debt and have successfully reduced the debt to 1 card, I appreciate what you have written here. Without going into a whole lot of detail, getting back to just 1 card to pay off was an expensive, timely process. Again, a good job and a good post.
ReplyDeleteDave Mosher3993