U.S. Household Debt Continues to Climb in 3rd Quarter

Muh iPhone X

Yea. You have a shite load of people out there making $50k-$100k driving $30k+ vehicles. I mean a shite load of people doing this. And many have student loans on top of it.

The 5-7 year vehicle loan has made these prices artificially affordable. The end result is record auto loan debt.

And these numbers are during "economic prosperity". Think these are bad? Just wait for the shite show of numbers once we hit recession.

I am enjoying my cheap Louisiana State University education and my paid off 2005 Toyota

My household’s debt has continued to fall though.

In 2006, when looking for a new house.. Seeing all of these neighborhoods popping up... Contractors buying multiple lots, building "cookie cutter" homes at the bear minimum building codes.. And then they go up for sale for $250k-275k.. People buying them up and you go through the neighborhoods and all off these young families, in their new home... are also driving new vehicles, you see people with new boats, four wheelers, golf carts.. As if they just went on a shopping spree.

12 years later.. And a lot of people still have that mindset. They get married and right away they got to have a NEW house, new vehicles, etc... While it seems like that trend is somewhat slowing down, it's still pretty strong.

IMO we will have another recession in the next 5-7 years and it could have an even bigger impact on our society.

While there is no longer subprime loans, there is another type of deal that is similar to it. non-prime I think? They are not just throwing loans at people like they were during the subprime days, but they are being more generous to people who don't have the best credit.

Then when it happens it will be the same ole shite. All these bank CEOs will jump in their helicopters and go to DC with their hands out convincing the government why it would be in the government's best interest if they bail them out.

Because the stock markets will take a hit, people who have been taking people's money to supposedly "invest", will be exposed because what they did have in the market is lost, etc, etc.

It wouldn't surprise me if the banks find a way in which they are able to gain from recessions, due to the fact they know the government will not allow them to fail.. But yeah.. I would expect it to continue to climb.