Interest Rates up, Bankruptcy Rates Down?

If you haven’t heard, the Federal Reserve is finally getting around to raising their interest rates which will mean higher interest rates for consumers taking out new loans and other forms of credit.

There is a silver lining to all of this, as pointed out in this article in the USA Today. Generally speaking, Americans “appear to be in better shape to handle higher borrowing costs”.

Employment statistics show that the American economy is improving from our recession. With the employment rate rising, it’s a direct correlation to the decrease in the number of bankruptcy cases being filed.

If you have a few minutes, read the article in its entirety. It’s a promising sign for our recovering economy in the face of rising rates.

https://www.usatoday.com/story/money/personalfinance/2015/10/10/consumers-improve-finances-interest-rate-hike-looms/73600994/

If you or your family is considering bankruptcy, please consult a professional to see if bankruptcy or debt resolution is the right path for you. The consultation at Affinity Law Group is complementary.