(Luis Cornelio, Headline USA) Credit card debt among U.S. consumers has surged to an unprecedented high under the umbrella of Bidenomics, intensifying Republican criticism of the Biden administration’s economic management.
The most recent data from the Federal Reserve reveals that Americans have collectively surpassed the $1 trillion mark in credit card debt.
A report by the Federal Reserve Bank of New York informed, “Credit card balances have grown by $45 billion, marking a 4.6% increase for the quarter, bringing the total to $1.03 trillion.”
This remarkable milestone underscored the rapidly mounting financial pressures faced by American families under the policies of the Biden administration, with inflation being a significant factor, reported Fox News.
“Interest rates are going up to tackle the inflation that has happened over the past couple of years and in order to pay for it all, Americans are taking on more and more credit card debt,” Fox News host Sandra Smith detailed. “We are seeing a trillion dollars for the first time ever. That’s a record high and that is a reality of the situation.”
The Kobeissi Letter highlighted several concerning trends within household debt, with record highs noted in mortgages, auto loans, student loans and credit card debt. Particularly alarming is the fact that mortgage debt has more than doubled since its peak in 2006, potentially indicating vulnerabilities within the housing market.
The average American credit card balance is at a record $7,300.
Meanwhile, the median household has just $5,300 in savings.
Debt levels are skyrocketing despite the fastest rising interest rates in history.
Follow us @KobeissiLetter for real time analysis as this develops.
— The Kobeissi Letter (@KobeissiLetter) August 8, 2023
Critics within the GOP have voiced their concerns about the impact of Bidenomics on the nation’s financial well-being.
Rep. Lauren Boebert, Colo., stated, “If BIDENOMICS is working, why has America’s credit rating been downgraded? Why does everything cost more than it did before BIDEN took office? Why has credit card debt skyrocketed under him?”
If BIDENOMICS is working, why has America’s credit rating been downgraded?
Why does everything cost more than it did before BIDEN took office?
Why has credit card debt skyrocketed under him?
We know why.
Because BIDENOMICS works AGAINST the American people, just like…
— Lauren Boebert (@laurenboebert) August 9, 2023
Rep. Mark Green, Tenn., emphasized the challenges faced by American families, asserting, “Americans are having to spend more to compensate for inflation, leading to more debt. Families can’t live this way but are forced to thanks to Bidenomics.”
Sen. Joni Ernst, Iowa, expressed her concern succinctly with the hashtag “#Bidenomics in action.”
Americans’ credit card debt has reached $1 TRILLION for the first time ever.#Bidenomics in action. https://t.co/oqr7bL8Tvq
— Joni Ernst (@SenJoniErnst) August 9, 2023
