Americans have substantially increased their borrowing in October, due to big increases in auto and student loans, and the largest rise in credit card debt in five months.
Consumers have increased their borrowing by 18.2 billion dollar since October to a seasonally adjusted $3.08 trillion, accordion to the Federal Reserves Friday reports, which happens to be a record level and follows up a September increase of $16.3 billion.
$13.9 billion rose in borrowing from auto loans and student loans, But borrowing in the credit cards category has rose $4.3 billion dollars, following a decline of $218 million in September. One of the possible reasons for this could include Black Friday shopping but Christmas coming around the corner a slight increase could be expected. Another possible contributor is society's encouragement to go back to school and learn new trades in a time where wages increase very minimally. Since student loans account for the biggest increase in borrowing debt since the recession that ended in June 2009, controlling that could but a dent in this increasing issue.
The only problem is that the Fed's borrowing report tracks credit card debt, auto loans and student loans but not mortgages, home equity loans and other loans. Meaning that there is still a cause of a the rising debt that is unaccounted for, but will have to be analyzed further to ensure our economy takes yet another step in the right direction.
http://www.foxnews.com/us/2013/12/08/teen-dies-aboard-delta-airlines-flight-from-seattle-to-atlanta/?intcmp=trending
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