Debt Stats

America's Debt Crisis

When a group of high school seniors were questioned about interest rates, four in ten believed that credit cards and auto loans have lower interest rates than mortgage loans. Currently, more than 83 percent of undergraduate students have at least one credit card and the average student credit card balance is $2,347.

How are our young people learning such poor financial patterns? In 2001 $670 Billion of the nations $5.1 Trillion in mortgage debt was refinanced, while the typical American household carried an average credit card debt of $7,500, up from less than $3,000 in 1990. Delinquencies on non-mortgage consumer debt are the highest in a decade. Our young people are simply following the patterns set by our Nationís large lending institutions.

According to the latest Federal report, 76.4 percent of all American households carry some form of consumer debt and 46.2 percent of households have some credit card debt, while average credit card debt has risen from $3,000 in 1990 to over $9,000 per household carrying at least one credit card. Every year our Nation is flooded with Billionsof credit card solicitations, many of which target our youth and students. Students from high school to college are beginning to follow the well-established patterns set by our Nationís large lending institutions. We are instructed to stretch home loans out over 30+ years with adjustable interest rates, explaining the 30-year high for home foreclosures. Families and Students are being taught that interest rates, not time, are the most important factors when considering a new purchase explaining why the average debt to income ratio has risen approximately 25% since 1992.

Ideal Financial Solution's motto is "turning debt into wealth, one family at a time." We offer debt, credit and wealth building solutions that help the American Family leverage their debt to build real wealth and live financially free!