Household debt ratios for the third-quarter plummeted to levels not seen in more than 40 years. The Financial Obligations Ration (FOR) dropped 100 basis points (bps) over the past year, while the Debt Service Ratio (DSR) has declined 72 bps since the third-quarter of 2019, based on figures released by the Federal Reserve. The sharp…
Consumer confidence calamity rebounded a tad in early December with the prospects of a long-delayed stimulus package being passed before the holiday break, the beginning of COVID-19 immunizations and the U.S. Supreme Court and Electoral College finally squelching voter fraud claims propagated by extremists. However, the brief consumer confidence December bump is likely to be…
Third-quarter card debt is expected to take a big hit as the waning impact of one-time consumer stimuli payments, and reductions in unemployment supplemental benefits slam consumer spending. The failure to prop up the American economy may be catastrophic for holiday spending in the final quarter of 2020. While the second-quarter 28% decline in consumer…
Coronavirus disruptions to everyday life are spreading rapidly as fear and anxiety grip consumers, business-owners and investors. The amplification of misinformation via social media and governments has become a plague unto itself. For Americans the only “silver lining” is mortgage rates dropping to the lowest level since October 2016. The 30-year fixed-rate mortgage is now…
The University of Michigan Survey of Consumers found spending confidence by American consumers increased slightly in February. The coronavirus was mentioned by 8% of all consumers in February when describing the reasons for their economic expectations. However, on the last days of the February survey, 20% mentioned the coronavirus due to the steep drop in…
Coronavirus claims for travel disruption takes off, as thousands of Americans fall victim to love fraud, beating robocallers at their game, and the economy looks good for now, but wit till the debt collectors start calling in 2021 and beyond. Travel insurance typically costs between 5% and 10% of the total cost of a trip,…
Small business challenges for 2020 will not be easy as more than eight of ten owners indicate attracting new customers is their biggest problem, and nearly six out of ten report hiring or trying to hire qualified applicants has become frustrating. Overall, small business optimism during 2019 was a roller coaster ride for many, as…
December credit card debt went off the rails driven by a very late Black Friday and a pull-back on consumer tariff taxes. As a result. the year-over-year expansion in credit card debt skyrocketed in December by a record 14%, compared to a 3% decrease in November, and a strong 8% gain in October. The $10…
Stable U.S. economy is the word of the day. Barring unforeseen events like a global coronavirus plague, a Mid-East war, a successful impeachment or another shortage of Popeye’s chicken sandwiches, it appears the economy will continue to chug along at a heathy pace through the 2020 elections. Stable, or slightly increased, consumer confidence is the…
Professor Cardworthy, the “Money Explainer” of all things financial, was resurrected by Senior Payments Analyst Robert McKinley, reprising his role first developed in 2007 as the actor in a series of 50 “Cardworthy” YouTube consumer instructional videos. The 2007 project was shelved while Mr. McKinley was in a cancer battle and later placed on hold…
