Beware Credit Card Debt: Highest Int Rate in 25 Yrs (Patreon)

The average interest rate for credit cards just reached the highest level since 1996 — and it’s likely to get even worse soon.

Consumers who carry a balance on credit cards are paying an average annual interest rate of 17.96%, according to Bankrate.com. That compares to 16.21% at this time last year.

There’s a direct pass-through from the Fed’s actions to credit cardholders. 

At the same time, inflation is forcing consumers to rely more on credit cards as they battle high prices. Mastercard Inc. said in its latest earnings call that credit card spending by US consumers on its network increased 25% in the quarter, while a Bank of America study showed an increase in credit card usage in July among households making less than $20,000.

Pls check your rates and find alternatives if you carry a balance.  It is very hard to escape 20% interest and the banksters do not care. 

Thanks Sanjay for raising the issue.