Consumer Over-Indebtedness: A U.S. Perspective by ProQuest


[...] former Federal Reserve Chair Alan Greenspan once commented that children, dogs, cats, and moose can get credit cards.13 In 2006, U.S. consumer credit debt (which includes credit card and other non-mortgage debt) totaled $2.4 trillion and U.S. residents had $745 billion in debt on general purpose credit cards.14 While it is clear that credit card debt is highly correlated with consumer bankruptcy filings, it is unclear why so many U.S. consumers are unable or unwilling to properly manage their credit card debt. [...] consumer advocacy groups have applied intense pressure on universities to restrict credit card issuers' access to their students and at least some states have passed legislation to regulate credit card marketing on campuses.155 In addition, the public outcry about subprime loans in the United States combined with the number of Congressional hearings that have been held over the last few years as well as the fear of additional or more burdensome regulation appears to have caused mortgage lenders to voluntarily change some of their lending practices.

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