Here is an interesting article about the consumers paying late on their credit cards. American Express stated that customers are falling further behind on their debts, signaling the economy is worsening. Many of the countries Financial Services have fallen more than 30 percent in the past 12 months in New York trading as consumers absorb the housing slump, rising unemployment and higher food and fuel bills.
American Express states that defaults by cardholders worsened most in areas where US home prices dropped by more than 5 to 10 percent. This doesn’t bode well. One thing we all should start doing is spending less than what we earn. It looks like most people do not follow through on their promises to themselves that they will spend less and save more. This is seen from the stimulus checks and rebate checks people received back. Instead of using the money to pay off their, they went to Wal-Mart, Best Buy and other major retailers to buy more stuff. Most American mindsets are not in the right place and they need to change if they want to have a chance to have a good retirement.