Credit Card Debt For The First Time - 1514 Words

This year student loans will grow to $1 trillion dollars, outpacing credit card debt for the first time (Goodman). Inflation is a word that many people have heard of but some might not actually know what it means. Inflation is when the prices of products increase while the buying power of money decreases (â€Å"Inflation†). Inflation is something that has always happened and probably always will. It’s not necessarily a bad thing in itself, but it can cause a problem if inflation grows much faster than wages increase. We, as a nation, need to curb the inflation of college costs begin the process of lowering the expense of higher education. In the last 30 years the inflation of tuition and other college costs has risen at an astounding rate. If you take a look at Stanford University you will find that their tuition has grown from about $6,000 dollars in 1980 to over $40,000 in 2012. If other products followed those inflation rates common groceries, like milk, would be clo se to $15. I don’t know about you, but to me that is absolutely ridiculous. This growing problem can most easily be seen in the large universities like the before mentioned Stanford. The problem of rising college costs has been around for a while, but in recent years it has gotten to a point where it is no longer possible to ignore. It is just getting worse and worse with each passing year with the prices going nowhere but up. The problem of the cost of higher education needs to be solved as soon as possibleShow MoreRelatedPersonal Finance1129 Words   |  5 PagesFalse—A debit card will work just fine when renting cars and checking into hotels. 3. False—The debt snowball begins with your smallest debt. 4. True 5. False—If you have to loan money to a friend, give it to them as a gift. Never co-sign a loan. Matching 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. i. b d j c k e l a f Multiple Choice 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. c d a a b d a d c c b d c d a Short Answer: 31. The adult market is saturated, and credit card companiesRead More Conniving Campus Credit Essay1677 Words   |  7 PagesCampus Credit According to Eric Hoover, the lure of easy credit on college campuses causes students to be burdened with needless and unscrupulous debt. In his essay, â€Å"The Lure of Easy Credit Leaves Students Struggling with Debt,† Hoover effectively argues his position through significant references and by successfully rebutting the opposition. Hoover explains how college students are not prepared to deal with the financial responsibilities associated with managing credit cards andRead MoreImportance Of Good Financial Decisions776 Words   |  4 Pagesdecisions and find themselves with poor credit scores. They dont know when they made these bad choices but often feel that they are wrong. These poor credit scores often reflect the misunderstanding of how credit works. Good financial decisions can be made if you know how credit works. Here are some things to help you understand how your credit scores are figured and how to make good financial decisions. 1. Dont get too far in debt - you must know how much debt you have in relationship to how muchRead MoreShould The World Be Today? If There Was No Debt?1281 Words   |  6 Pagesbe today if there was no debt? Would things be better in the economy? The answer to this question is yes. Now, debt in the world has become a huge problem for the U.S. In the year of 1946, the first step into a world with debt would begin. This new creation would be the beginning of debt in the world. The invention of the credit card was a blessing, and also a curse for many. This invention would also be a huge breakthrough in how things were paid for. This one simple card would make things moreRead MoreCash Versus Credit Cards Essay examples1143 Words   |  5 PagesCash versus Credit Cards Americans should handle their credit cards responsibly and should not become a part of that number of abusers. The Scott III (1999) website â€Å"The average Americans household has eight credit cards, which are used to charge almost $2 trillion in goods and services annually.† No one wants to be a part of the group of individuals who he or she can put his or herself at risk for acquiring a negative credit score, possible job rejections, rejections when trying to rent or leaseRead MoreCredit Analysis Exercise Essay1111 Words   |  5 PagesEstimate Category Vicki Tim Assets Checking   Account Car 401K Income Gross   Annual   Salary After- ­Ã¢â‚¬ Tax   Monthly   Salary (Monthly   Take   Home   Pay) Liabilities Student   Loan Credit   Card   Balance Monthly   Expenses Rent Food Student   Loan Credit   card   payments Entertainment Wedding   Expenses Gas   /   Repairs Retirement   Savings 401k    10500 2500 25000 400 15000 8000 50000 2917 48000 2800 98000 5717 9000 10000 750 250 Read MoreCredit Card Debt Should Not Be New For American Consumers Essay1332 Words   |  6 Pagesservices with a plastic card, there has been complications. Credit cards have a few positives, but the risks heavily outweigh the good. Americans owe a combined 12 trillion dollars’ worth of credit card debt (John Oliver, 2016). The average household in the United Sates owes around $5,700 (valuepenguin.com). Debt should not be something new for American consumers since they already deal with student loan, automobile, and mortgage debt. Since credit card debt is so prevalent, debt buyers and other loanRead MoreCredit Cards And The Best Habits For Effective Credit Card777 Words   |  4 Pages Credit cards have become an integral part of our lives. We rely them for enjoying small pleasures and while making big purchases. But as helpful as credit cards can be, using them the wrong way can lead to a loss of credit score and even get you into debt. Therefore, it is important that you know how to make the most of your credit cards. Here are some of the best habits for effective credit card use. Find the Right Card Not all credit cards are alike and you should carefully consider yourRead MoreAdvantages Of Debit Card Vs Credit Card931 Words   |  4 PagesThe Advantages of Debit Card versus Credit Card The advantages of debit card versus credit cards used by young adults are debit cards will not allow you to mismanage, overspend or go into debt. The most common explanation for credit card debt for people under the age of 25. â€Å"Demographic and credit trends show that young people, and in particular students, may be the next segment of credit users that will face difficult financial times. â€Å"In the United States, there are 19.1 million students whoRead MoreAuto Debt Is Not Problematic1286 Words   |  6 PagesOn the other hand, auto lenders would argue automobile debt is not problematic. The steady climb of auto lending throughout the past four years is aiding the sales of U.S. automotive industries. David Berson, a chief economist for Nationwide Insurance, says that â€Å"because gasoline prices have come down, it makes it less expensive to run the vehicles that use more fuel.† The savings in fuel can be put toward new automobiles and higher loan payments. And , auto loans are a comfortable tendency for lenders