Credit card debt surged in November of 2017, as Americans told Santa to “charge it”, despite widespread propaganda extolling our thriving economy. Dow off to best start since 2003, what? S&P 500 and Nasdaq close at record highs, what? The stark disconnect between the economy of the ruling class, and the economy for the plebeians has never been more obvious. Who can keep swallowing those bullshit filled Hot Pockets of purported economic bliss that the mainstream media keeps slinging? The Scrooges on Wall Street must be doing the jitterbug in their penthouse accounting lairs. The miserly curmudgeons praise the masses of financially inept, dunderhead Americans who insist on living beyond our means, to uphold the illusion that we’re not the Cratchits. So we light up our credit cards like the Star of Bethlehem. Now Americans hear The Three Wise Men and think: Mastercard, Visa and Amex. Should we wrap our all-time record high of $1 trillion of credit card debt in swaddling clothes?
Credit Card Debt Hits All Time High As Consumers Unleash Historic Shopping Spree
It’s official: the reason behind the recent rebound in the economy can be explained with two words: “charge it.”
Readers may recall that one month ago, we reported that with Republicans in Washington on the verge of passing their first major piece of legislation in the form of comprehensive tax cuts that will allow Americans across the income spectrum to keep a little more of their hard earned cash in 2018, it appeared that U.S. consumers already “pre-spent” their savings using their credit cards.
And now we have confirmation that this is precisely what happened, because in the month of November, between revolving, or credit card, and non-revolving debt, largely student and auto loans, according to the latest Fed data, total consumer debt rose by $28 billion, or the most since November 2001, to $3.827 trillion, an annualized increase of 8.8%, or roughly 4 times faster than the pace of overall GDP growth.