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As Fed raises rates, other costs will climb
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Most banks immediately responded to the Fed's decision to boost the federal funds rate last Tuesday by raising their prime lending rate a quarter point to 4.75%. Many home equity lines of credit and credit card interest rates are tied to the prime rate.
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Credit Card Companies Target College Students
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When the cash flow gets low, college students reach for their credit cards to pay for books, clothing, gasoline and pizza. The monthly bills keep getting higher and higher and students fall deeper in debt. With credit cards so easy to get, it's a problem that's also getting worse.
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Mortgage Debt: The Good News
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The popular press, following conventional wisdom, frequently advises that eliminating mortgage debt is a desirable goal. We show that this advice is often wrong because mortgage debt acts as an inflation hedge and a hedge against declines in local real estate values.
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Americans Take On Debt
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Consumer credit outstanding grew about $10.9 billion in July to a seasonally adjusted $2.04 trillion. That follows a revised $4.3 billion rise in June to $2.029 trillion.
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7 ways to radically cut your debt
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That may sound shocking, but super-high debt levels are becoming almost ubiquitous. As I’m sure you’ve heard, the average person has between six and 10 credit cards; the average household carries about $8,000 in credit card debt, according to Cardweb.com.
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Low credit card rates getting rare
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Borrowers beware: Credit cards with super-low interest rates are becoming harder to find than plywood in Florida.
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Boom threatens American dream
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'Americans are in over their heads when it comes to debt,' said economist A. Gary Shilling. 'The value of real estate assets has zoomed, but people are borrowing more and more against their homes.'
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Students can plan to be debt-free tomorrow, today
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Financially, students can make choices early on that will either benefit or hinder them for years to come. Unwise and undisciplined financial decisions can lead to debt, which can negatively affect credit.
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Consumer Credit Rose In July
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Consumer credit increased at a seasonally adjusted annual rate of 6.4 percent in July, or by $10.9 billion, from the previous month.
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US economy slows as global consumer debt rises
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Research sociologist and consumer debt expert Robert Manning argues that the expansion of the global consumer economy will necessarily lead to the diminished economic power of the United States, including slower economic growth due to higher interest rates and excessive public and private debt burdens. Manning, a professor at Rochester Institute of Technology, finds that if the U.S. model of credit is adapted globally, it can be expected that household savings rates will plummet while credit card market penetration will continue to soar and average consumer debt will continue to rise.
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New parents are prone to making money mistakes
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Becoming a parent means getting rid of at least part of your income, at least temporarily, at the same time that expenses skyrocket
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Credit Counseling Warnings
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Debt Counseling services can help if debt becomes overwhelming, but watch out for steep fees
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