Household Debt: Bigger Than Ever

Given the fact that the American government is notorious for spending more money than it makes, it should come as no surprise that its citizens have followed the trend. Recent studies show that Americans now have a negative net savings rate – the costs of homes, medical care, and college tuition have all gone up, and for the most part, wages have remained stagnant. American debt is bigger than ever. Polls show that, while consumers are aware of the problem, national policymakers aren’t making it a priority.

The curious aspect of this situation is that proposed national credit education and counseling programs enjoy a great deal of bipartisan support. American consumers, Republican and Democrat alike, are clamoring for plain language on their bills and statements, an end to exorbitant fees, and more incentives for people to save money. Right now, it seems that these pleas are falling on deaf ears.  ■