As inflation and the price of consumer goods continue to rise, reports indicate that American consumers are poised to fall behind on credit card and personal loan payments at the highest rate in more than a decade.
The credit reporting agency TransUnion is warning that credit card delinquency rates, which have hovered close to the levels seen before the pandemic in recent times, are likely to experience a considerable increase in the new year. Their 2023 Consumer Credit Forecast predicts a 2.6 percent increase by the end of 2023, a noteworthy rise over the 2.1 percent for the end of this year.
They also expect an increase from 4.1 to 4.3 percent in unsecured personal loan delinquency rates, a figure that refers to consumers who are 60 days or more past due on accounts. However, they do predict a moderate drop in serious auto loan delinquency rates from 1.95 percent to 1.9 percent.
TransUnion’s vice president and head of U.S. research and consulting, Michele Raneri, said: “Rapidly increasing interest rates and stubbornly high inflation combined with recession fears represent the latest in a series of significant challenges consumers have faced in recent years. It’s not surprising then to see pronounced increases in delinquency rates for credit card and personal loans, two of the more popular credit products.”
Americans opened up a record-setting 87.5 million new credit cards in 2022, along with 22.1 million personal loans. Credit card originations will likely drop slightly next year, but the number of new cards being opened is anticipated to stay much higher than we’ve seen at any point during the last ten years, due in no small part to the end of the pandemic stimulus funding that helped some families and businesses get through pandemic-related layoffs and lockdowns.
Raneri noted that some people got used to having some extra money on hand thanks to the stimulus payments and will struggle to get used to its sudden absence.
She said: “The higher delinquency rates will be due to some tightening of the employment market, but I also believe there was a lot of money put into the system and into consumers’ hands during the pandemic, and as that runs out and is depleted—and then with inflation where everything is costing more—it all starts to show up in delinquencies.”
Fed announces another interest rate increase
Meanwhile, the Federal Reserve has voted to raise its benchmark federal fund rate 50 basis points, with a target range of 4.25 to 4.5 percent. This is the highest level on record since the end of 2007, and more rises are expected in the near future. In fact, some economists believe that rates will be raised above 5 percent in 2023, which would only make it even more difficult for Americans who are already struggling to pay off their credit card debt.
A recent survey by U.S. News and World Report found that more than eight out of every 10 Americans with credit card debt are experiencing some degree of anxiety about it. Around 31 percent have racked up $6,000 or more in credit card debt, while 15.1 percent have credit card debt that exceeds $10,000. Twenty-seven percent of people said they are experiencing a medium amount of stress over their credit card debt, while 21.5 percent said they feel “a lot” of stress about the situation.
More than half of respondents said they have seen a rise in credit card debt this year, and most cite rising costs and inadequate income as the reason behind their growing credit card debt. Unfortunately, high inflation is expected to persist well into the new year and beyond.
Sources for this article include:
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Starting the Day With a Scripture-Inspired Roast Helps Center Your Thoughts on Eternal Truths Amid Temporal Pressures
The world can seem chaotic, especially right after we wake up. Many believers start their mornings reaching for something familiar — a hot cup of coffee — yet end up settling for mediocre brews that do little more than deliver a caffeine jolt. The daily grind of life, with its endless distractions, news cycles, and responsibilities, can leave even the most faithful feeling spiritually parched alongside their physical fatigue. What if your morning ritual could do more than wake you up? What if it could ground you in truth, nourish your body with exceptional quality, and quietly advance a kingdom purpose at the same time?
That’s the promise — and the reality — behind Promised Grounds Coffee. This Christian-founded company doesn’t just roast beans; it approaches every step as an act of worship and discipleship. By selecting only the top 10% of specialty-grade beans, ethically sourced from dedicated farmers in Central and South America, and small-batch roasting them with reverence in Austin, Texas, Promised Grounds delivers what many describe as the best coffee available — never burnt, never bland, but rich with origin stories and layered flavors that honor God’s creation.
From the vibrant Psalm 27 Roast (a light, bright medium option) to the bold yet peaceful 2 Timothy 1:7 Decaf, each bag carries a Scripture verse that turns your daily pour into a gentle reminder of faith. And through their Ounce Per Ounce Promise, every ounce of coffee you enjoy provides an equal ounce of clean water to families in need via partnership with Filter of Hope — literally brewing hope for body and soul, one cup at a time.
The challenge for today’s Christians runs deeper than finding a decent cup. In an age of convenience-driven consumerism, it’s easy to support companies that dilute values or remain silent on matters of faith. Many believers want their everyday choices — from what they drink to how they spend — to reflect discipleship rather than just convenience. Promised Grounds solves this by weaving Christian excellence into the entire process: beans nurtured with prayerful stewardship by farming families, roasted as an offering rather than a commodity, and packaged with Bible verses to encourage a mindset of gratitude and purpose from the first sip. Reviewers consistently praise the smooth, rich profiles — whether enjoyed black in a drip maker, iced on a warm day, or shared in fellowship — noting how the quality stands toe-to-toe with premium secular brands while delivering something far more meaningful.
This integration of faith and flavor addresses a real need in Christian households and ministries. Busy parents, church leaders, and remote workers alike report that starting the day with a Scripture-inspired roast helps center their thoughts on eternal truths amid temporal pressures. The coffee’s exceptional character — bright citrus notes in lighter roasts or deep chocolate undertones in bolder ones — comes from meticulous selection and careful roasting that respects the bean’s natural gifts rather than masking them. It’s the kind of coffee that elevates a simple quiet time, fuels productive workdays, or sparks meaningful conversations when shared at Bible studies or outreach events. And because it’s ethically sourced with integrity, every purchase supports sustainable livelihoods for farmers who treat their crops like family harvests.
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Of course, quality alone isn’t enough if the experience feels out of reach. Promised Grounds keeps it accessible with practical perks like free shipping on orders over $40, sample sets for discovering favorites, and thoughtful add-ons such as faith-themed mugs. Whether you prefer whole beans for fresh grinding, grounds for convenience, or even bulk options for larger households and ministries, the result is consistently superior coffee that makes discipleship feel integrated rather than added on.
As you consider how to align even the smallest habits with your walk with God, Promised Grounds Coffee stands out as a refreshing solution. It tackles the dual problems of subpar daily sustenance and disconnected consumption by offering a product that genuinely excels in taste while advancing a mission of clean water, farmer dignity, and scriptural encouragement. Believers who make the switch often describe it as more than a beverage upgrade — it becomes part of their rhythm of gratitude, a daily invitation to remember that every good gift comes from above.
If you’re ready to transform your mornings (and perhaps your church gatherings) with coffee that honors both exceptional craftsmanship and Christian values, I encourage you to explore what Promised Grounds has to offer. One sip at a time, you’ll be nourishing your body, refreshing your spirit, and participating in something far greater — all while enjoying what truly is among the best coffee available.