Credit card debt can be embarrassing. Interest rates are often sky-high. A maxed-out card might feel like a symbol of poor choices or lax financial discipline. And card debt is especially embarrassing, apparently, to people who earn a lot. Roughly two-fifths of consumers with credit card debt have lied about the amount of their debt, according to a 2025 survey from LendingTree, an online lending marketplace. Among those with card debt who earn more than $100,000 a year, the share who lie about it rises ...

Core Insights - Despite a challenging financial year in 2025, a significant portion of Americans remains optimistic about achieving their financial goals in 2026, with 45% expressing confidence despite 49% feeling their financial situation worsened in 2025 [1] Regret No. 1: Not Building Savings - The primary financial regret of 2025 was the failure to save money, reported by 38% of Americans, highlighting the need for accountability systems to improve financial habits in 2026 [2] - Recommendations include setting achievable milestones, intentional budgeting, and treating savings as a non-negotiable priority, such as automatic transfers from paychecks or directing tax refunds into savings [3] Regret No. 2: Impulse Spending - The second most common regret was impulse spending, affecting 28% of individuals, often driven by stress and emotions [4] - To mitigate impulse purchases, creating a 'pause point' in decision-making is essential, with suggestions to wait 24 hours for small purchases and longer for larger ones [5] - Implementing simple rules, such as monetary limits on discretionary spending, can help reduce impulsive behavior [6] Regret No. 3: Racking Up Credit Card Debt - Accumulating excessive credit card debt was the third regret, reported by 21% of Americans, indicating a need for strategic debt management [7] - Understanding balances and interest rates is crucial for consumers to prioritize paying down high-interest credit cards while maintaining minimum payments on others [7]

A mortgage refinance exposed a financial secret that stunned a Chicago husband: his pregnant wife had quietly accumulated $50,000 in credit card debt. The 38-year-old man, identified as CJ, shared the situation on "The Ramsey Show," saying he was "terrified" after learning about the balance while the couple was already working to pay down other debts. Don't Miss: The ‘ChatGPT of Marketing' Just Opened a $0.85/Share Round — 10,000+ Investors Are Already In Warren Buffett once said, "If you don't find a ...

Core Insights - The average credit card balance in the U.S. has increased to $6,618, reflecting a 1.2% rise from the beginning of 2024, with total credit card debt reaching $1.21 trillion, a $27 billion increase from the start of the year and a $67 billion increase from the previous year [3][7]. Group 1: Credit Card Debt Overview - The rising credit card balances indicate that many Americans are struggling with debt amid inflation and increased living costs [2][4]. - A balance of $6,500 to $7,000 is close to the national average, but it represents a significant financial burden for many households, especially with high interest rates often around 20% [4][5]. Group 2: Interest and Payments - With a 20% annual percentage rate (APR) on a $6,500 balance, monthly interest payments can amount to approximately $108, leading to $1,300 annually if the balance remains unchanged [5]. - Minimum payments typically only cover interest, allowing balances to grow, which highlights the importance of managing debt effectively [5][8]. Group 3: Debt Management Strategies - To manage credit card debt, individuals are encouraged to pay balances in full to avoid high interest charges and prevent debt accumulation [6][7]. - Strategies for keeping debt in check include limiting spending, making extra payments, focusing on high-interest debt first, and committing to reducing balances over time [7][8].

Core Insights - The average credit card balance in the U.S. is $6,523, with a minimum payment at 19% APR potentially leading to 170 months of debt and $6,491 in interest paid [1] - A significant increase in the duration of credit card debt is observed, with 61% of cardholders in debt for at least a year, up from 53% in late 2024 [2][4] - Emergency and day-to-day expenses are the primary reasons for credit card debt, with 41% citing emergencies and 33% citing daily expenses [3][18] Group 1: Credit Card Debt Statistics - 47% of American credit cardholders carry a balance, with Gen Xers and millennials leading at 53% each [10] - Among lower-income households, 56% of those earning under $50,000 carry credit card debt, compared to 36% of those earning over $100,000 [11] - Women are more likely to carry credit card debt, with 50% of female cardholders holding a balance compared to 43% of male cardholders [12] Group 2: Impact of Credit Card Debt - 64% of credit cardholders with debt have delayed financial decisions due to their debt, affecting savings, investments, and major purchases [20] - 84% of credit card debtors report that their debt impacts their financial choices, with 29% stating it significantly affects their decisions [25] - Younger generations, particularly millennials (75%) and Gen Zers (72%), are more likely to delay financial decisions because of credit card debt [23][24] Group 3: Strategies for Managing Credit Card Debt - Recommendations for managing credit card debt include budgeting for debt repayment, applying for balance transfer cards, and seeking help from credit counselors [26][29] - A balance transfer card can provide interest-free repayment options for up to 21 months, allowing for more manageable payments [28] - Working with a credit counselor can help individuals develop a plan to tackle overwhelming debt [29]

Core Insights - High income does not equate to financial stability, as demonstrated by a couple with a combined income of $200,000 who are struggling with $8,000 in credit card debt [4] - The couple received a $12,000 commission check, which could have been used to eliminate their credit card debt, highlighting a lack of financial planning [4][6] - The primary issue is not the financial situation itself, but rather the absence of a budget and expense tracking, leading to unnecessary debt accumulation [4][5] Recommendations - Dave Ramsey advised the couple to "cut up" their credit cards to prevent further irresponsible usage, which is a necessary step given their financial habits [6] - Learning to budget and track expenses is essential to avoid similar situations in the future, and seeking help from a financial advisor can facilitate this process [7] - Paying off the debt with the commission check and using debit cards or cash instead of credit cards is recommended until they can commit to paying off their credit card balance in full each month [7]

Credit cards can be useful tools, but they can also lead to financial ruin. According to the Federal Reserve, the average rate paid on credit card accounts that were assessed interest is 22.83%. At that enormous interest rate, even small amounts of debt can rapidly spiral out of control. This is why it’s so important to understand what actually drives credit card debt, and what you can do to avoid it. Here are eight common contributors to credit card debt, along with strategies to counter them. 1. Carry ...

With federal oversight in retreat, deep-pocketed collection companies are aggressively pursuing down-and-out consumers who are struggling with record levels of credit card debt. Meanwhile, consumer complaints go unanswered. Learn more: https://t.co/e7ypugKnM7Illustration: Philip Smith for Forbes ...

A year ago, unpaid credit card debt hit its highest level since the Financial Crisis and has remained elevated since. https://t.co/rUz09NS2XNIllustration: Philip Smith for Forbes https://t.co/7Kn5zfbbRG ...

A year ago, unpaid credit card debt hit its highest level since the Financial Crisis and has remained elevated since. https://t.co/rUz09NS2XNIllustration: Philip Smith for Forbes https://t.co/oLFsM33swB ...