Many people in contemporary society find themselves having to use credit cards more than they might want just to make ends meet. However, although credit cards certainly can be useful at times, they can end up being people's worst enemies and by the time they realize this, it often is too late. Mounting credit card debt coupled with rising interest rates can quickly lead to financial troubles; in this situation in Pennsylvania, a consumer may be eager for debt relief. Nevertheless, the fact that more people are relying on credit cards now is a sign that the economy is getting stronger.
More consumers at the beginning of 2014 decided to take on student and car loans, according to the Federal Reserve. Borrowing increased by nearly $14 billion in January. The increase was even larger the previous month, growing by almost $16 billion.
As a result, total borrowing reached more than $3 trillion, which is a record. Although some may see the increasing debt as problematic for consumers, the borrowing hikes actually indicate that individuals are becoming more confident in today's economy. This is a major change from the Great Recession period, when consumers were more cautious about taking on debt due to job losses.
People who are faced with credit card debt might feel robbed of their quality of life. This is because they can't ever seem to climb out of their financial holes, and despite their efforts to get rid of their debt, the debt seems to linger. Debt relief, however, is available through the legal avenue of personal bankruptcy in Pennsylvania. A bankruptcy filing can help a person to wipe away existing financial obligations and chart a new future debt-free.
Source: NBC News, Why Mounting Car and Student Loan Debt Is a Good Sign (Really), No author, March 7, 2014