The average consumer credit card debt dipped to its lowest level in more than eight years, according to an Associated Press story published by the Huffington Post. The data comes from credit reporting agency TransUnion.
Since heavy credit card debt is one of the main reasons consumers become insolvent and in need of an Atlanta bankruptcy lawyer, this certainly is good news. But it also shows that consumers are spending less, which negatively impacts chances of a broader economic recovery.
The average bank-issued credit card debt dropped 13 percent to $4,951 during the three-month period that ended June 30, as compared to the same period one year ago. In fact, TransUnion said it was the first time average credit card debt fell below $5,000 since the beginning of 2002.
But it's not as peachy here in the Atlanta area, according to credit reporting agency Experian. Atlanta residents carried the highest credit card balance in the country for the month of July at roughly $6,753, as reported by an August 16 Atlanta Journal-Constitution article.
And Georgians held an average credit card debt of $7,749 in July, according to CreditKarma.com CEO Ken Lin.
Alaska residents had the highest debt load in the country for the three months ended June 30 at $7,148 and 22 states had debt higher than the national average. Alabama debtors showed the most progress with a 27 percent drop in average consumer credit card balances.
The TransUnion report also showed that more borrowers paid their credit card bills on time during the three-month period, with just 0.92 percent of borrowers past due by more than 90 days (down from 1.17 percent the year before).
Georgia bankruptcy lawyers, many of whom provide free initial consultations, are skilled at helping their clients improve their financial situations.
Related Resources:
- FAQ: How to Pay Off Debt (FindLaw)
- Consider Meeting with a Bankruptcy Attorney in Atlanta (FindLaw)
- Want to Dump Your Credit Card Debt? Make a Budget (FindLaw's Common Law Blog)
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