Americans are sinking deeper into credit card debt amid the pandemic. Many are turning to their plastic to pay for food and other essential items.
28 million is the number of Americans who have added to their credit card debt due to the crisis. That number is cited in a new survey by Creditcards.com. The same survey shows almost half of the nation's adults (about 120 million) have some amount of credit card debt. That lifeline in many cases is getting cut off. Tens of millions say their card limit was cut or canceled without warning.
“One way to ward off these potential problems is communication with your lender. Only seven percent of people in credit card debt have asked their card issuer for a break. I think that’s a big mistake,” Creditcards.com Analyst Ted Rossman said.
Rossman expects to see more millennials asking for a break. 34 percent of credit card holders ages 24-39 say they went deeper into debt.