NEW YORK—Nearly half of Americans in their prime working years, ages 27 to 58, now have credit card debts that exceed the balance in their savings accounts, according to a new survey.
Roughly 45% of millennials and Generation X consumers surveyed reported credit card balances greater than their savings or emergency funds, according to an annual emergency savings report released this week by Bankrate.
The nation’s credit card debt reached a record $930 billion at the end of 2022, according to an analysis by TransUnion. That debt burden is growing even faster given the rise in rates, increasing around 19% for existing accounts and 22% for new applicants, according to a WalletHub estimate, The Hill reported.
“A growing number of Americans are leaning on increasingly expensive credit card debt,” said Mark Hamrick, senior economic analyst for Bankrate.
The Bankrate survey, conducted mostly in January, found that 51% of Americans polled have more savings than credit card debt. Thirty-six percent had more credit card debt than savings, and 13% reported neither savings nor credit card debt, The Hill reported.
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