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Micah Abigail CEO, founder and financial influencer Micah Smith speaks with Fox News Digital about the quiet credit crisis crippling finances and how to fix it.
At a time when America is already battling a quiet, crippling credit crisis, recent data indicates there are still paramount struggles in the way of fiscal freedom.
In honor of Financial Literacy Month, Experian offers a closer look at the financial hurdles many are facing – and how some are overcoming them.
Nearly 1 in 4 U.S. adults currently have “unmanageable” debt, as of April 1, according to a survey of 1,000 respondents. Unmanageable debt is defined as when an individual is forced to choose between debt payments and basic necessities.
Data from the same study optimistically noted that 45% of survey respondents report having paid off debt they once considered unmanageable. Paying off that debt helped 45% of people improve their peace of mind and 35% sleep better at night, while 35% reported having more time for family and hobbies.
U.S. FACES DEFAULT RISK IN AUGUST IF DBET LIMIT ISN’T RAISED, C.B.O. ESTIMATES
To help reach their debt-free goals, 36% said they took on an additional job, 26% paid off smaller debts first with the “snowball” method and 23% used budgeting apps.
Data from Experian studies released this April reveal a significant number of Americans in debt and those who want to make game plans for financial success. (iStock)
More recent Experian findings from April 2 noted that Americans continue to manage all-time high debt, but 2 in 3 respondents say they are making game plans for success.
Seventy-percent said they are steering clear of buy now, pay later platforms and limiting their use of credit cards; 60% of respondents elected that they have a reliable support system that could help them through a challenging financial situation; and half of those surveyed reported being less worried after paying debt.
“Unmanageable debt can negatively impact many facets of a consumer’s life. While credit is a useful tool for achieving certain financial goals, it must be used wisely,” Rod Griffin, senior director of Consumer Education and Advocacy at Experian, said in the study press release.
Atlas Merchant Capital founding partner and CEO Bob Diamond asks what the US is doing in doubling the debt on ‘The Claman Countdown.’
“It’s encouraging to see that people are showing determination in their efforts to pay off debt, which will help them potentially improve their credit score, build up savings, and reduce stress,” he added, “paving the way for a more prosperous and happier future.”
The newer survey also found that nearly a quarter of survey-takers reported having a financial “Cinderella story,” with 41% of respondents aiming to save money each paycheck for at least a year.
More than 2 in 5 people in the most recent survey said their biggest debt misconception – before they had to manage it themselves – was that minimum payments are enough.
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Ramsey Solutions founder and CEO Dave Ramsey weighs in on small business owners’ concerns over tariffs, the prospects of a recession and his new book, ‘Build a Business You Love.’
“Thirty-five percent of your entire credit score comes from payment history. So lenders, right, when they’re evaluating you as a potential borrower, and they’re determining what kind of an interest rate they’re going to be giving you, they’re looking to see your payment history,” credit repair expert Micah Smith previously told Fox News Digital.
“And if you have lates and if you have blemishes, and you have missed payments,” she further warned, “not only is your score tumbling down, but you look very, very risky.”
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