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Most Americans struggle with high amounts of debt

| Oct 27, 2020 | Chapter 7 |

Louisiana consumers often live beyond their means, charging purchases on their credit cards and taking out loans. This is common, and even those who earn reasonably high incomes often spend a significant portion of their paychecks just making ends meet. Studies find that Americans carry high amounts of debt, with the average consumer having about $90,000 in owed balances.

Debt is a problem that crosses most demographics and affects most age groups. While different generations typically take different approaches to debt, borrowing money is common and even expected. Gen Z, which covers those between 18 and 23 years old, has the lowest amount of overall debt. The generation with the highest average debt burdens is Gen X, which includes those ages 40-55. Men and women in this group have an average of $135,000 in debt. These amounts include mortgages, student loans, credit card debt and more.

When it comes to just credit card debt, Gen X has the highest average. This demographic also has the highest average of mortgage debt and auto loan debt. However, the baby boomer generation has the highest average of personal loan balances. Gen X also has the highest average of student loan balances.

High amounts of debt can cause financial struggles for Louisiana consumers of all ages. It is prudent to be proactive in dealing with a debt problem, and a solution may be to consider filing for bankruptcy. Individuals struggling with unsecured debt, such as credit card balances and medical bills, may find that Chapter 7 bankruptcy offers them a way to deal with certain types of balances in an organized and responsible manner.

Facing Overwhelming Debt?