Consumer Debt More Than Doubles in Decade

This is pretty incredible:

Consumer debt hit a record $1.98 trillion in October 2003,
according to the most recent figures from the Federal Reserve. That
debt � which includes credit cards and car loans, but not mortgages
� translates to some $18,700 per U.S. household. At the same time,
the government says the nation's savings rate dropped to just 2 percent
of after-tax income in the first half of the year. That means many
people lack the means to deal with financial emergencies, much less
their eventual retirement.

Almost $20,000 per household, and that doesn't even include mortages.
Am I alone in my amazement on this one? What the hell are people
thinking? No wonder nobody cares about Ken Lay and the boys looting our
401(k)s. At this rate nobody will ever have to worry about retiring.

Posted by flow Frazao on January 6, 2004 at 12:09 PM | Permalink