Most Americans Paying for Summer School with Credit Cards
Claire Dickey, in a June 20, 2019 article in bankrate.com, reports that more than half of Americans will pay for their children’s summer care with credit card debt. Most of those will carry the debt into coming months.
Carrying over credit card debt for services already consumed can lead to financial strains as debt accumulates. Credit unions need to have management tools in place that track each borrower for signs of financial stress that could lead to loan delinquency or defaults.
TCT’s Credit Migration tool assures risk is managed in existing loan portfolios by reporting deteriorating credit scores for each borrower. Potential problems with a borrower are pointed out in TCT’s Credit Migration reports far in advance of traditional delinquency reports.