Posted 3/26/2024, 4:49:11 PM
Credit Card Interest Payments Hit $1 Trillion as Debt Balances Rise and High Rates Strain Lower-Income Borrowers
- Consumers spent over $1 trillion on interest payments in 2023, with over half coming from credit cards
- Credit card interest rates are very high, averaging 22.8% in 2023
- Credit card debt balances rose by $50 billion in 2023, more than auto loans or student loans
- Renters and lower income borrowers deal with the highest credit card debt
- High inflation has made it difficult for many to pay bills, leading them to put expenses on high-interest credit cards
