People Are So DESPARATE They're Making Payments on THIS! (Flat BROKE)

Americans are so broke that they are now unable to buy even the simplest of things if you're looking for that sign that households here at home are now struggling then be prepared to see a lot of them today because things are not getting any better this is something that's clear for banks like JP Morgan Wells Fargo Bank of America and basically anyone that offers credit cards as those are now becoming the lifelines for many people you can ask Visa Mastercard American Express all of these different providers the exact same thing and all of them are probably going to give the same answer Americans are now tapping out delinquencies are exploding at a blistering rate why are so many Americans so deep into credit card debt people are leaning into credit cards much more than they were previously there are a couple of different factors here one big factor is obviously inflation things are just more expensive than they used to be cost of goods is up across the board and so we're seeing a lot of Americans lean more into credit cards in order to make ends meet so this isn't just frivolous shopping Lindsay it's not people uh being flippant or uh doing a lot of new travel it's a lot of times people just trying to make ends meet with the budget when it comes to groceries and other Basics and so as a result of that but combined with raising aprs that are really compounding a lot of that interest we see Americans carrying much more credit card debt than they were previously and let's talk about the impact of e-commerce and digital wallets how do these oneclick purchases actually trick our brains essentially buy now pay later is very popular when you go to checkouts when you're checking out from an Instagram ad or something like that and you see the option to either pay $50 or to pay four payments of 12250 boy that 1250 just feels much better in the moment and it's that delayed payment you know it actually creates a little bit more of a dopamine release in our brain when we end up having that option we go with the option that's less painful we go with the option that's going to feel better and so it's important for people to be aware of that how that can be treacherous because even though buy now pay later doesn't necessarily have interest rates there are late fees and it just reinforces this Loop Lindsay of not paying for the thing that you're buying in the moment and punting that payment until later that tends to get a lot of people in trouble you can understand that more and more people are being forced into debt nowadays given that inflation really hasn't gone to a level where we're seeing prices drop down but we're now kind of at a point where even I'm surprised as to how bad things are you see it's recently come out that those buy now pay later plans like affirm afterpay CLE Apple pay Clara they're actually being used to buy alcohol I know I know I can't believe it either now if you see yourself in Walmart or Target and you're now forced to finance your alcohol I hope you take this as a sign that things are unbelievably Bleak in the United States not just the fact that alcohol is not good for you but I guess people are looking for an escape somehow now if you go strictly by the numbers you can see here that 22% of BNP or buy now pay lador services they're financing alcoholic beverages now on the other hand credit cards are paying for at least 30% of these purchases if we look at this graphic here we can see that the install installment plans are now being used more and more for stuff that many of us could pay for with cash before you can see with clothing and accessories books and hobbies Health and Beauty appliances Auto Parts gadgets and electronics Sporting Goods building and gardening items as well as Home Furnishings now if this is not a sign that we're swimming in the deep end of the pool then I don't know what is guys so constellation Brands which is a pillar for beer Wine and Spirits they're saying that the drink is very resilient during tough Economic Times I wonder why right yeah even with this fact Shoppers are now making smaller purchases probably due to the price increases that we see not just with alcohol but also with pretty much everything else in the market now the deal with these items that I listed though is is that they're not Necessities not at all which brings me to just how many Americans are fighting debt at this point a recent survey showed that three in five Americans or roughly 61% are in credit card debt the average amount that they owe right now is sitting at an average of almost $6,000 now the bad news is that about 23% of respondents so that they're going even deeper into credit card debt that's only made worse with the finding that late last year 60% of consumers they're saying that they're now living paycheck to paycheck so in essence and this is something we talk about a lot uh people are only paying they're not paying down their balances they're just paying the interest which lines the pockets of the credit card companies or the banks um making them wealthier and richer while Americans either just keep their head above the water or in some cases sink if you can't make those payments right so it's it's problematic at the household level especially now because average annual percentage rates on on credit cards are so high so it's a really kind it's a really costly kind of debt to carry which is why experts emphasize how important it is to prioritize paying off credit card debt first before other kind of kinds of debt just because it's it's a really hard cycle to break uh not only are you carrying debt but when you're not paying it off it's growing month to month I'm going to guess that that the people who are finding themselves under this weight are the people who are already pretty vulnerable well uh Gen X are are leading The Pact as far as um those who are most likely to to carry debt uh women also carry more credit card debt than men and as as far as uh geography goes it's folks who are concentrated in lower inome areas that carry the highest level of uh credit card debt now of course this has had a huge ripple effect with different markets one of them being the automotive Market where autol loan delinquencies are now in their worst in like 30 years the percentage of subprime autol loan borrowers that are at least 60 days delinquent or pass du has now exploded to 6.11% this is the highest that we've ever seen since 1994 no wonder why repossessions are also going up right I think it's at like 20.4% since late last year and it's probably going to continue to rise as we're seeing our expenses grow I keep seeing Tik toks of Range Rovers mercedesbenz Audi's Tesla is getting towed out of people's driveways these repo truck businesses are probably making a killing right now but that Outlook isn't the same for everyone in fact we're hearing the federal government boast and practically brag about how everything is just so much better for millions and millions of Americans statements said some lawmakers are just not happy with the United States National Debt hit a record $34 trillion in fiscal year 20123 alone the United States owed 659 billion in interest on this debt and you could expect that number to be much higher this year these numbers should alarm every American and make it clear that Biden nomics is not working but the American people they already know this the White House repeatedly has lied publicly praising themselves for a healthy economy and taking credit for a meager post-pandemic numbers the American people aren't buying this false narrative hardworking Americans are still struggling to pay their bills and balance their family budgets while the president and the Democrats in Washington continue The Reckless spending according to a recent axios poll 72% of Americans say that their grocery purchases are the top way that they feel inflation in their lives closely followed by gas prices at 56% they also found that two-thirds of Americans are worried that food prices will continue to climb now whether you agree with this or not depends on how you're feeling personally at the moment but to be honest with you guys it doesn't really matter as to you know what these people say because we know for a fact that we're competing with one another the stakes are made that much higher because it's an election year now what's important though is what we feel about the economy how Americans are seeing the expenses and if things are actually going according to plan so my question for you guys is what do you think of all this now as far as I'm concerned I'm going to do my best to keep you guys informed on what actually is happening out here the real actual data and numbers that reflect what's truly Happening Here in the country so before I go I want to thank you guys for dropping a like for the video thank you for subscribing and I'm going see you guys on the next one take care