Millennials, raised during the Great Recession, haven’t been closely related to bad debt. Today, however, the situation has changed. If you want to learn more about the topic and discover unique merchant services, including a credit repair merchant account, just follow the lines below.
Millennials in Debt: Need a Credit Repair Merchant Account?
The Federal Reserve reports that Americans’ credit card debt accounts for $1.04 trillion. In 2014, it was $854 billion. The truth is that millions across all generations haven’t yet found full recovery from the global financial crisis.As for millennials, it’s more typical of them to have student loans to pay as compared to older generations.
Based on some new research, 1/2 of those having student loans statethat high monthly payments for their loans affect how they make their career choices. About 4 millennials out of 10 have accumulated credit card debt because of their everyday expenses. Another 20% have fallen into debt because of sudden costs such as car repairs or medical bills.
Did you know the average Americans aged 44 have a total average debt balance of $138.916? This is nearly 50% more as compared to the national average of $93.446.Well, what if you want to start a business and you don’t have the necessary working capital to make your ideas a reality? Besides, wherecan you find secure and low cost merchant services?
No need to worry. Youjust need to turn to a reputable alternative online lender and processor in your field and get the best deal for your business. A true merchant-services providing professional will help you enjoy the best terms and the cheapest rates for merchant services, including a credit repair merchant account.
Millennials in Bad Credit Card Debt: Stats
Unlike in the past, today, millennials are no longer away from bad credit card debt. Let’s have a look at some stats:
- Northwestern Mutual’s 2018 Planning & Progress Study reports that, as of 2018, millennials aged 25-34 owned an average of $42.000 in debt each.
- According to the NY Fed, delinquencies of 90 days-plus represent the highest point among Americans aged 18-29. This refers to any form of debt, but credit card debt represents the highest percentage.
- A 2018 report from the St. Louis Federal Reserve Bank shows that mortgage debt is approximately 15% lower for millennials. Besides, credit card debt among millennials was almost 2/3 that of Gen X, but student loan debt was more by over 300%.
On a side note, if you’re trying to pay down your debt but you don’t know how you can do it effectively, just spend at least 10 minutes figuring out what kind of debt you’ve accumulated and what interest rates are being charged from you. Then, prioritize what you must pay down first.
To sum up, the widespread belief that millennials stay away from high-interest credit card debt is no longer true. The New York Federal Reserve reports thatmillennials, who were known for staying out of consumer debt, are now often swimming in it.
Author Bio: As the FAM account executive, Michael Hollis has funded millions by using credit repair merchant account solutions. His experience and extensive knowledge of the industry has made him finance expert at First American Merchant.