📍What are your thoughts on this. I Knew this would be an issue because of the interest rates going up. A lot of the conversation was geared towards home buyers which was true... the cost of buying a home went up. But on the other hand any other type of debt that has a variable interest rate will also be susceptible to higher payments and that includes credit cards.
I would suggest to anyone who find themselves in credit card debt to try and pay down as much as they can they can before the new interest rates take into effect.
Even using a savings challenge or if you have a coin jar; anything to really bring the balance of your credit cards down would be a great help. Remember credit card companies want you to keep paying the minimum balence due versus making extra payments or just paying the card off.
I know some people like to use credit cards as their emergency fund but at what cost to you. If you find yourself with an interest rate of 15 or 20% it's not really saving you in the long run whereas having an emergency fund in a high yield savings account; you can access your money anytime you want and not have to pay interest for it.
So let's chat what do you guys think about this? Do you believe that credit card debt affects more people than what this article suggests? Do you know people in your family or inner circle that struggles with credit card debt or paying off their credit card debt?