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Survey finds people willing to go into debt for holidays

| Nov 13, 2019 | Bankruptcy |

The holiday season may tempt some Tennessee consumers to use their credit cards for gifts and other spending. According to a survey by CreditCards.com, around half of Generation X and millennials and around one-third of baby boomers said they would be willing to take on credit card debt for the holidays. People who were already in debt were more willing to take on more for the holidays than those who had none. Half of the respondents who had debt said the holidays were a good reason to take on more compared to one-quarter of those with none.

More men than women were willing to go into debt for the holidays. Half said they would compared to 41% of women. Most respondents said they planned to pay more than the minimum monthly amount, and more than one-third said they would cut back on their spending.

Some surveys contradict themselves regarding how willing millennials are to take on credit card debt. Traditionally, they have been wary of credit cards, but they are the most likely to apply for store cards as well as the most likely to be rejected. According to a survey by Affirm, more than two-thirds of respondents said they would not take on more debt for the holidays.

Credit card debt is not the only reason people become overwhelmed by bills. Many people who end up filing for bankruptcy do so because of medical debt or as a result of job loss or a divorce. When this happens, they may want to consult an attorney about their options. People may have some wrong ideas about bankruptcy. For example, they might think they will lose all their assets or that they will never be able to rebuild their credit. An attorney may be able to clear up these and other misconceptions and work with the client throughout the process.