I continue to be left speechless at the fact that nobody – and I do mean nobody – in the mainstream media and political establishment is willing to raise hell over this outrage.
Consumer credit increased at an annual rate of 2-1/2 percent in May 2011. Revolving credit increased at an annual rate of 5 percent, and nonrevoling credit increased at an annual rate of 1-1/4 percent.
Uh huh. Here’s the graph:
See, it’s coming back! That’s the mantra anyway – and “see, non-revolving credit is increasing!”
Well, yes….. if you want to be technical you’re right. But it’s all in one place:
Without federal debt – that is, student loans, the annualized change is still negative. It is improving, but it’s negative on an annualized basis.
When looked at in terms of levels – that is, dollars outstanding – it becomes even more stark what’s going on and how badly we’re screwing our young adults who simply do not know better and are taking horrifically-bad “advice” doled out by people with conflicts of interest – people that are in fact paid with the very money they’re borrowing:
Again: Will you please stop financially raping our young adults with non-dischargable student loans?
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