How consumers handle their credit cards changes, sometimes even drastically over relatively short periods of time. People in Georgia might be more apt to pay off credit card balances during times of economic strife or uncertainty. However, as economic prospects improve, many consumers are willing to take on increasing amounts of credit card debt.
Credit cards in 2020 vs 2021
During 2020, consumers paid off approximately $82 billion worth of credit card debt. They also shed another $56.5 billion in 2021’s first quarter, alone. This trend toward paying off debt does not appear to be long lasting, though, as a recent survey showed that 44% of Americans are willing to rack up debt in order to treat themselves.
Both age and gender seem to influence whether someone is willing to take on debt. Of those polled, 47% of men were willing to rack up debt for nonessential purchases compared with only 41% of women. Millennials were the most likely to report the same — 59% — while only 32% of baby boomers said they would overspend on nonessentials. The spending categories that these consumers most commonly cited were:
- Automotive
- Home renovations
- Travel
People go into debt for all types of reasons, including unexpected emergencies, medical bills and overspending. Regardless of how someone got in over his or her head with debt, everyone is deserving of relief when necessary. For consumers in Georgia, one of the most helpful approaches to too much debt is to pursue bankruptcy, which can help discharge debt as well as stop harassing creditors in their tracks.