CONSUMER DEBT CALLED `NOT DAUNTING'.Byline: Patricia Lamiell Associated Press As Americans charge up a storm, some new studies suggest that debt is not out of hand. Even with consumer debt topping $1 trillion, the borrowing figures ``are not daunting daunt tr.v. daunt·ed, daunt·ing, daunts To abate the courage of; discourage. See Synonyms at dismay. [Middle English daunten, from Old French danter, from Latin ,'' The Conference Board, a nonprofit business-sponsored study group, declared Wednesday. ``Debt totals keep rising not because of wanton profligacy Profligacy See also Debauchery, Lust, Promiscuity. Arrowsmith, Martin simultaneously engaged to Madeline and Leona. [Am. Lit.: Arrowsmith] Bellaston, Lady wealthy profligate; keeps Tom as gigolo. [Br. Lit. , but because more consumers are using their credit cards for a wider range of purchases.'' More and more people charge food and medical care, but the practice is one of convenience and those bills are paid promptly, said Lynn Franco, a consumer researcher for The Conference Board. Many people also are borrowing more to collect frequent flier miles and other premiums offered through credit cards, economists say. Others, however, fear overextended overextended, adj 1. the situation occurring when a prosthetic appliance is inadvertently constructed in such a way that part of the oral mucosa is injured by the appliance. adj 2. credit threatens the economic expansion and the health of the banking system. Late payments on credit card bills have been rising steadily, and many banks have responded by tightening credit standards Credit Standards The guidelines a company follows to determine whether a credit applicant is creditworthy. or charging riskier buyers higher interest rates, according to the Federal Deposit Insurance Corp. Those measures should serve to cut banks' losses, MasterCard International says. Regardless of the reasons for mounting debt and delinquency rates, credit-watchers say the trend is difficult to ignore. Consumer credit continues to climb to new highs, growing in April by $6.6 billion, a 6.9 percent annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. pace, the Federal Reserve said Tuesday. The American Bankers Association The American Bankers Association (ABA) is comprised of banks and other financial institutions. It seeks to promote the strength and profitability of the banking industry by Lobbying federal and state governments, building industry consensus on key issues, and providing products and reported Tuesday that 3.53 percent of all credit card accounts were delinquent, or at least 30 days late, at the end of the first three months of this year. Personal bankruptcy filings were up 16.8 percent in the 12-month period through March and are on pace to reach an unprecedented 1 million this year, according to the Administrative Office of the U.S. Courts. About 60 percent of the nation's 100 million households carry some form of installment debt Installment Debt Debt issued with the condition of regularly occurring intervals for payment by the debtor, until the principal and interest are paid in full. Notes: , The Conference Board said. |
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