FORT LAUDERDALE, Fla.,
March 22, 2018 /PRNewswire/
-- The beginning of each year is usually a busy time for
consumer credit counselors as people look to pay off holiday debt
and achieve New Year's resolutions, but this year has been
especially busy for the counseling team at Consolidated Credit.
Consumers are looking for solutions to record-high debt levels
and the nonprofit organization has seen a 30% increase in requests
for debt help since the start of 2018.
The increased calls does not surprise Consolidated Credit's
president Gary Herman. He says his
team has been preparing for the uptick due to rising household debt
levels and higher delinquency rates.
"People are getting overextended in the same way that they were
just before the Great Recession," Herman says. "The good news is
that we're seeing more people be proactive about finding solutions
early, instead of waiting for the floor to drop out from under them
if and when the economy decides to take a turn."
Total U.S. household debt hit an all-time high of $13.15 trillion at the end of 2017, according to
Federal Reserve Bank of New York's
Center for Microeconomic Data. Those numbers don't yet include
holiday credit card spending totals from November and December.
Current debt levels are likely to already be much higher.
What's more, severe delinquencies, balances 90 days or more
late, are expected to increase to about 2% this year, according to
a January report in MarketWatch. This would be the fourth
consecutive year where delinquencies have increased.
"You can't wait to fall behind to start looking for solutions,"
Herman explains. "If you do, it may limit the options you have
available to solve your problems with debt. Start researching debt
relief options before you start to struggle to make ends meet. If
you're in doubt of which option is the best choice in your
situation, speak with a credit counselor for a free
evaluation."
About: Consolidated Credit is one of the nation's largest credit
counseling agencies. In 25 years, they have helped over 6.5 million
people overcome challenges with debt and other financial issues.
Their mission is to assist families throughout the United States to end financial crisis and
solve money management issues through education and professional
counseling.
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SOURCE Consolidated Credit