US Credit Card Debt Rises Above $1 Trillion For The First Time In A Decade

Tyler Durden's picture

Unlike last month's unexpectedly week consumer credit report, which saw a plunge in revolving, or credit card, debt moments ago the Fed, in its latest G.19 release, announced that there were few surprises in the February report: Total revolving credit rose by $2.9 billion, undoing last month's $2.6 billion drop - the biggest since 2012 - while non-revolving credit increased by $12.3 billion, for a total increase in February consumer credit of $15.2 billion, roughly in line with the $15 billion expected.

However, while in general the data was uneventful, there was one notable milestone: in February, following modest prior revisions, total revolving/credit card debt, has once again risen above the "nice round number" of $1 trillion for the first time since January 2007...

.... where it now joins both auto ($1.1 trillion) and student ($1.4 trillion) loans, both of which are well above $1 trillion as of this moment.

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foodstampbarry's picture

Niggas be broke for realz.

Dr. Richard Head's picture

I just paid off all of my credit cards this week, so don't blame me.  You can blame my ex though, as I keep getting collection calls on her credit cards from when we were married.  Thankfully they are all under her name.  Not my problem.  

I still can't believe the credit card companies have given me over $60K in available credit, but I ain't gonna use it. 

 

Wrenching Away's picture

Use it to buy gold, then cut them up.

TheRideNeverEnds's picture

That's my plan if I ever decide to bail, I have excellent credit so they have extended me large lines of credit that I don't use and always pay off. It's free money since all my cards give at least 1% cash back on everything, some of my cards give 5-10% cash back for certain purchases so I charge everything, pay in full, and collect the free money.

I couldn't imagine someone actually using tens of thousands in credit on these cards then making payments; for what purpose would one figure charging tens of thousands on credit card @10-20%+ interest to be a good idea?

Dilluminati's picture

Do same here.. don't do credit bought car late in year new at 0% interest subaru

if you want to keep food on the table and cars on the road don't piss perfectly good money on interest

don't piss it away on alcohol

blow and strippers

 

yrad's picture

Not me! Debt free!

debtor of last resort's picture

For every ounce of gold in your posession, you should own $10.000 in debt. Diversify.

Ricki13th's picture

OMG its a trifecta. WINNING!

Fake Trump's picture

Better than Uncle Sam at over 20 trillions.

BigFatUglyBubble's picture

Goes up by around 4 billion a day I think.  It's hard to find up to date numbers.

Jimminy Cricket, servicing the interest on the debt was $34,785,052,636.90 in March 2017 - That is obscene.  An obscene scheme, I say.

https://treasurydirect.gov/govt/reports/ir/ir_expense.htm

BigFatUglyBubble's picture

bubble aggregate bubble

bardot63's picture

debt is the new currency.  how's that gonna work out? 

Dr. Richard Head's picture

Federal Reserve Notes are nothing but debt and have been the defacto currency for decades. 

 

Dave Thomas's picture

Just put er on the ol balance sheet Dick!

Woo hoo!

AC_Doctor's picture

Let the SHITSHOW begin!!!

RougeUnderwriter's picture

Phony Prosperity round 2 - what kills it this time

bardot63's picture

Give yourself a little credit.

Blue Snowflake's picture

I use my credit cards to pay the mortgage

Dave Thomas's picture

Nobody uses them to move little piles of white powder around?!

I guess the 80s were a long time ago lol.

CHoward's picture

OK - I'll bite.  What the hell happens if the debt "bubble" bursts - OR - what happens if the student loan "bubble" bursts"?  Someone needs to explain to me WHAT THE HELL HAPPENS WHEN A BUBBLE BURSTS!!!!!

Justin Case's picture

The gum usually gets stuck on yoar face.

RozKo's picture

It doesn't go away on a 'jubilee' and vanish into thin air if thats what those in debt might be thinking? It will turn into something else. Wouldn't be surprised if they didn't make debt slaves out of people. Some places send poor people to jail for unpaid court bills, think about that for a second... No, the bankers are crooks for a reason and will get blood from a stone out of people in debt. 

Dave Thomas's picture

If there's no new debt created to shackle folks with, there's no money dude!

If all the debt in the universe was paid off, the only data left in the vaults and data centers would be midget porn.

silverer's picture

They start a new one.

A. Boaty's picture

At least those who use revolving credit don't have to worry about a rising interest rate environment. Oh, wait...

silverer's picture

Oh, that's all inflation. And there are no terrorists in Sweden.

assistedliving's picture

no worries.  my wife alone has $500,000,000.  Paying it off monthly

brushhog's picture

I havent owned a credit card since 1998. I have a very unorthodox method for purchasing goods and services....I save money and when I have enough, I buy what I want. I know this is very very controversial and very complex. Thinking about writing a book to describe this strange concept and the crazy consequences that have manifested since I began employing it. Some, but not all of the side effects of this technique include;

1. Fiscal responsibility

2. delayed gratification

3. Wiser consumption

4. A positive net worth

Austrian Peter's picture

Well said, dear Sir.  I too learned my debt lesson early and I am actually writing a book about it for the benefit of my children and their children.  When the NEW ECONOMY arrives, debt will be a thing of the past, an aberration to be forgotten and left in the trash can.  http://leave-the-eu.org.uk/PU.php

 

PhiPhi's picture

Took me 2 years to pay off a visa card I had in my early 20's and since then credit card free for 30 odd years, the experience was awful but an abject lesson in the black art of compound interest.  Worse still when I finally paid it off the cheeky bastards sent me a new card with a much higher limit which I immediately cut up into small pieces, same story with my M&S store card.  Only after being in debt can one truly appreciate that being debt free is an essential part of individual freedom.

DEBT, n. An ingenious substitute for the chain and whip of the slave-driver.

Ambrose Bierce - The Devil's Dictionary