Think Freddy Krueger and the Sanderson Sisters are scary? Try tackling one of the terrifying money monsters below!
Although we know monsters don't exist, common financial fears like job loss, lack of savings and unplanned medical expenses are a reality for many. So whether your finances are in good shape, are a "horror story" or fall somewhere in between, we are treating you with some spooky financial facts that are sure to give you a fright:
Devilish Debt.
Forget the monster under the bed. It's debt keeping most adults awake at night. The numbers are chilling:
Total household debt in the United States is $13.86 trillion
38% of U.S. adults have credit card debt and owe an average of $16,000
Student loan debt currently stands at $1.48 trillion
70 million U.S. adults have debt in collections
About 232,000 consumers had a bankruptcy notation added to their credit reports from April to June 2019.
Don't let debt haunt your finances. Focus on saving and earning extra cash to lower your debt more quickly. Consider consolidating if you find yourself making multiple loan and credit card payments each month and your interest rates are high.
Creepy Credit.
According to the U.S. News & World Report, 35% of people with bad credit don't do research before applying for a credit card. While credit cards offer rewards and can improve your credit score, they can also do the opposite if used carelessly.
If you're thinking about applying for new credit, make sure you evaluate your current financial situation: Do you have good credit or do you need to rebuild? Are you able to make the monthly payments? Will getting a new credit card kill your credit? It's important to do your homework before you apply to make the right choices for your finances.
Spooky Savings.
Do you have an emergency fund or a safety net of savings built up? If not, you're not alone. In fact, almost 30% of Americans report having a zero balance in their savings account. Most can't cover a $500 financial emergency without relying on credit cards, family or their retirement funds for help.
One of the first rules of financial health is to build a savings to cover surprise expenses. You can jumpstart your emergency fund by finding a side gig, selling stuff you don't use, or opening an account that helps you save automatically with your debit card.
