Report: Average American Is $225,238 in Debt

Many have less than $500 in savings

   

Report: Average American Is $225,238 in Debt

It appears the economic crash didn’t curtail spending as much as some people would have hoped.

A new report released by the GoBankingRates, which tracks interest and banking rates nationwide, found that the average American is more than $225,000 in debt with many having less than $500 in savings.

The website produced a so-called “average American” — dubbing that person ‘Mary Smith’ — based on people’s earnings, savings, and credit card, student loan, auto loan, and mortgage debt.

“Mary is 37, the current median age of an American. She’s a non-Hispanic White, the largest demographic in the country, and she works in retail sales, the most common occupation in the United States,” GoBankingRates.com editor Jennifer Calonia stated in a press release.

“Until we witness a much more dramatic return to permanent, long-term employment in the private sector, Mary Smith’s dire scenario, which leaves her drowning in debt and without adequate savings, will continue to play out, especially as more companies rely on temporary, low-wage work.”

Some highlights from the report:

  • Average credit card debt among indebted households: $15,263
  • Average credit card interest rate: 14.95% APR
  • Average mortgage debt: $147,591
  • Average outstanding student loan balance: $31,646
  • Average auto loan debt: $30,738
  • Only 59 percent of Americans have at least $500 in a savings account saved

Check out the full report here.


Article printed from InvestorPlace Media, http://investorplace.com/2013/09/report-average-american-in-debt-hundreds-of-thousands/.

©2014 InvestorPlace Media, LLC

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