In October 2009, the unemployment rate throughout the country was 10 percent. Roughly 10 percent of credit card accounts went into bad status. Between 2008 and 2013, Texans and other Americans had begun to make paying down debt a priority as a result of the recession. However, by the first quarter of 2018, household debt in the United States was at $13.2 trillion, which was the highest total ever recorded.
It is important to understand American consumers have other debts beside their outstanding credit card balances. Mortgages, student loans and auto loans also contribute to the overall total Americans owe to lenders. As the Fed raises interest rates, it could have an impact on how individuals handle their finances. Ideally, people will save as if the economy is booming and spend like they did during the recession.