513 – Inflation is driving up credit card use. Now what?

Debt Free in 30

In this episode, Doug and Ted discuss the challenges of credit card debt and the struggles the average person faces in today's economy. They touch on the impact of food and shelter inflation, the rise in credit card debt leading to insolvencies, and the decline in homeownership. They also share their predictions for the future, including whether inflation will continue to rise, and offer their advice on how to navigate these tough times.

Time Stamps:

00:00 Introduction

00:44 Why did credit card debt drop during the pandemic?

03:05 Inflation rate for food

04:16 Shelter inflation

05:45 Credit card debt leads to insolvencies

08:15 How inflation and credit card debt affects everyone

14:35 Why are we not seeing homeowners?

16:52 Predictions

19:32 Practical advice

Related Links:

What to Know About Credit Cards So You Use Credit Wisely - https://www.hoyes.com/blog/what-to-know-about-credit-cards-so-you-use-credit-wisely/

Unpaid Credit Card Debt: What Are the Consequences? – https://www.hoyes.com/blog/unpaid-credit-card-debt-what-are-the-consequences/

Can Bankruptcy Stop a Tenant Eviction for Rent Arrears? - https://www.hoyes.com/blog/can-bankruptcy-stop-a-tenant-eviction-for-rent-arrears/

Can’t Pay Your Mortgage? Options To Keep Your House – https://www.hoyes.com/blog/cant-pay-your-mortgage-options-to-keep-your-house/

Renewing Your Mortgage as Rates Change -https://www.hoyes.com/blog/get-ready-for-higher-interest-rates/

Statistics Canada. Table 36-10-0639-01 Credit liabilities of households (x 1,000,000) -https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=3610063901

Statistics Canada. Table 18-10-0004-01 Consumer Price Index, monthly, not seasonally adjusted -

https://www150.statcan.gc.ca/n1/en/catalogue/1810000401

Bank of Canada, Monetary Aggregates https://www.bankofcanada.ca/rates/indicators/key-variables/monetary-aggregates/