1 in 4 Americans Say Their Debts Are No Longer Manageable
The financial strife of the pandemic is still weighing heavily on Americans. When asked about their debts, 25% of respondents said that they have become unmanageable since the start of the pandemic. This is according to an analysis by MoneyTransfers.com.
MoneyTransfers CEO Jonathan Merry commented on the data saying:
Americans are feeling the financial strain brought on by the pandemic. Many are struggling to cope with unmanageable debt and have taken measures to try to make up for lost income and protect their financial future. This includes taking out loans, cutting back on spending, and seeking additional income sources.MoneyTransfers CEO, Jonathan Merry
This trend is especially concerning, as unmanageable debt can lead to serious long-term financial problems. Americans should do whatever they can to stay on top of their debts and make sure they get proper help if needed. Otherwise, they risk falling further into debt and damaging their financial health.
Several businesses have closed due to the pandemic, leading to a sharp rise in unemployment. More than 1 in 5 Americans are working fewer hours, and 15% have lost their jobs since March 2020. This has created an economic crisis of widespread joblessness that is having profound effects on households across the country.
The financial struggles of the pandemic don’t stop there. Other areas, such as credit scores and savings accounts, have taken a hit too. Although many said their credit score is fair, good, or very good as of 2022, some make less than $35,000 annually and reported that the pandemic caused their credit score to decrease. Similarly, many Americans have seen their savings plummet due to the pandemic.
Overall, it is clear that the pandemic has had a significant impact on Americans’ finances. Although many people remain optimistic about their financial future, the data shows that much work still needs to be done. It is essential for Americans to make sure they are taking the proper steps to ensure their financial health and well-being during this difficult time. They should take advantage of available resources.
There are several programs available to help Americans cope with their debt. In the U.S., individuals can get help through credit counseling, debt consolidation programs, and other financial assistance services. The government has also created a range of stimulus packages to help those affected by the pandemic.