Tuesday, November 21st, 2017

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Who Can’t Handle Credit? Adults More Likely to Have Debt on Plastic

Adults may be more likely to have credit card debts than younger people.When it comes to credit card debt, younger people are often chided for their ill-advised use of plastic.

After all, many may not have had the proper personal finance background when they first got their card. For example, Sallie Mae noted that the average amount of credit card debt for a graduating senior in 2008 was $4,100.

However, before adults start thumbing their noses, they may want to consider their own habits. According to a recent survey by Lending Club, people 55 and older are more likely to be carrying credit card debt than their 18- to 34-year-old counterparts.

The poll, conducted for the peer-to-peer lending network by Harris Interactive, showed that 73 percent of older adults have debt on plastic, compared to 60 percent of younger respondents.

Still, the idea of younger people being able to handle credit cards is still seen as questionable by lawmakers in Washington. Through the Credit Card Accountability, Responsibility and Disclosure Act, people under 21 will have to get a cosigner in order to get an account, unless they can prove they have the means to support owning plastic.ADNFCR-3389-ID-19858982-ADNFCR

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