Credit Card Defaults Increase       
 
It would appear that we have met with a rough snag in the payment of our debts. More consumers are defaulting on their loans over the past month than they did before. Consumers are fighting to keep their heads above water across much of our nation, but it would appear that not all of us are able to at this point. According to the S&P and Experian Consumer Credit Default Indices, defaults on credit cards have increased from 8.9% in March to 9.1% in April. These defaults are even higher than last April’s where they were at 7.7%. This is a significant increase.
 
Experts say that there has been a big push for people to get their credit cards into a debt consolidation precisely because of this. They see that the housing market has been trying to get back up again so they have been trying to sell more homes by offering incentives to people who might not have the ability to get into a home otherwise. However, some of these people are getting into these homes and not really being able to pay for them, thus defaulting on their credit cards in the process.
 
They say that it would be better for those people who are finding themselves in a bit of a jam to turn to a debt consolidation so that they can pay off their debts instead of letting them go into default. This debt consolidation can help them save their credit and possibly keep them from bankruptcy.

 

 

 

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