Many Florida residents might think of skiing the Alps or scaling the top of Mount Everest when they hear words like snowballs and avalanches in the same sentence. Not many, however, would conjure up images of credit card debt. Yet, these things are connected in the financial world.
Many Florida residents and others across the nation have concerns about theirs finances. A personal finance columnist routinely addresses questions from consumers regarding all aspects of money issues. For example, a recent topic addressed whether it was more beneficial to maintain an emergency fund in a savings account or to pay off credit card debt.
Credit cards are a convenient method of payment for Florida residents. Many consumers are often able to pay their entire balance each month and incur no or very little interest expense. However, some households struggle to manage credit card debt. Reports show that the average amount of debt is about $5,700. However, for those people who do not pay balances off each month, the level of credit card debt is over $16,000.
Many credit card holders in Florida and around the country have difficulty in managing their credit budgets. Their level of credit card debt has continued to rise, according to a report from a financial website. Consumers often take advantage of perks offered by the card companies, such as large sign-up bonuses. The card issuers have shared their thoughts on recent credit card trends.
The Federal Reserve recently increased its benchmark interest rate for the second time in three months. While the economy is growing, there are concerns that many borrowers in Florida and around the nation will be paying more money for interest. Holders of credit card debt will likely notice the interest rate increase more than other borrowers.
The country's consumer confidence level is the highest it has been in 15 years. This confidence has prompted many consumers in Florida and around the country to increase their spending. According to a personal finance website, much of this spending is being done by people using credit cards. As a result, national credit card debt levels are at their highest since 2007.
Many Florida residents are benefiting from improvements in the economy, such as increased employments rates and higher wages. However, financial experts cite the level of credit card debt in the country as a case for concern. They recommend decreasing this debt and increasing savings to become more financially stable and offer suggestions on how to achieve these goals.
Credit cards are very useful to many Florida residents and others throughout the country. Credit card companies often initiate changes in their programs and offerings to attract new customers. Sometimes the changes are beneficial to customers, but others may result in higher fees and costs. While credit card debt remains a serious issue for many cardholders, many borrowers continue to apply for new cards. A personal finance website recently offered some insight on several trends in the industry that are important to consider if seeking additional accounts.
Many Florida residents may be among the estimated 70 percent of taxpayers who will receive a refund from their 2016 tax filing. For those receiving a refund, financial experts have offered some advice on what to do with those funds. One of their suggestions is to pay down credit card debt. Roughly 39 percent of the country's adults plan to pay down their debt with their tax refunds, according to a survey by the National Retail Federation.
Many people in Florida and throughout this country look for ways to save money and reduce expenses. Financial experts cite credit card debt as a burden to a majority of households. On average, consumers pay around $1,300 a year in interest on their credit cards. A personal finance website has offered several suggestions on how to eliminate that debt.