Does America Have a Debt Problem?

You would think by watching the television that many Americans have a debt problem and some of them do, but how many. Credit is very readily available in this day and age and it is probably too easy to get, but it is not mismanaged to the point that the media makes it out to be.

Here are some facts that were put out by the Federal Reserve Board. About 56 percent of all Americans carry little or no credit card debt at all. Of the remaining 44 percent, the biggest majority do not have excess debt. Actually, only about 5 percent have too much debt.

The fact that surprised me the most is that 25 percent of Americans have no credit cards at all. Approximately 56 percent of all credit cardholders pay their balances in full monthly. Only about 1 percent of the people with credit cards have more than $20,000 in credit card debt.

Bankruptcies, however, are at an all time high, but most people do not file bankruptcy as a result of consumer debt. Most bankruptcies are the result of medical bills or becoming unexpectedly unemployed. In the past year, a lot of people filed bankruptcy because they were not able to recover from hurricane Katrina.

If you are one of the small percentage of people that have a large amount of unsecured consumer debt, there is help available. You can contact your local Consumer Credit Counseling Service and they will be able to give you advice on what to do next with your finances.

They can help with a budget, a debt management plan and counseling to change your thinking and beliefs about money. Learn how to mange your money and your credit and you will be part of the majority in this country that has little or no consumer credit card debt.

Marjorie Salada is the owner of debtmanagement1.com, a website that contains information on debt consolidation, debt settlement, debt counseling and how to manage credit card debt.