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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: yard_man who wrote (28180)	3/15/2005 9:18:47 AM
From: nextrade!	Respond to of 306849

Consumer credit The Federal Reserve released the latest numbers on consumer credit on Monday afternoon. Both revolving (think credit cards) and non-revolving (think auto loans) debt totals continue to expand. In addition, the December figures were revised higher. So what does this mean on a per-household basis? Taking the latest figures, the average consumer debt burden -- which excludes mortgage and home equity debt -- for each of the 120 million households in the U.S. is $17,676. It breaks down into $6,678 in credit card debt and $10,998 in installment debt Debt "$7,200 per family per year. That is roughly the amount of money the average family spends each year that it doesn't have. It is such a big number, compared to the average family's income that we wonder if we've done the arithmetic correctly. On a macro-economic scale, calculates Warren Buffet, the nation spends 5% more each day than it earns. But these numbers suggest that at the average, lumpen-household level, the amount is probably closer to 10%! "