Young Adults Struggle With Credit Card Debt [AUDIO]
A new study shows those in their 20’s and 30’s are racking up credit card debt at a higher rate than older consumers.
Researchers took a look at credit card debt of 20 and 30-somethings, using data from 1997 to 2009. They found that they had more debt than their parents and are repaying it more slowly.
Rider University Finance expert Maury Randall agrees it’s a problem. He says just look at the high number of younger adults still at home.
“Because of all of these financial problems relating to debt, it is taking a longer period of time for younger people to move out on their own and establish their own families.”
Randall says young adults in their 20’s and 30’s have been reducing their collective credit card debt since ’09, but student loan debt in their demographic continues to soar.
Those who did the research for the study also point out that credit has once again become more readily available. They also say there is somewhat less of a stigma attached to being weighed down in credit card debt these days.
The study suggests that unless there’s a drastic change in spending habits among younger consumers, some could wind up eventually dying while still owing.