Just charge it.
Welcome to the Know the Difference Minute for Tuesday, November 8th.
In the face of high inflation, Americans are giving their credit cards a workout. And it’s easier than ever, the number of cards issued over the 3rd quarter rose to almost 511 million.
That might be a problem. First, the cost to borrow money is increasing. Every rate hike from the Fed turns into a higher payment. At last check, the average credit-card rate was a record high 18.94%.
The second is higher balances which hit a record $866 billion in the 3rd quarter of 2022. The average sits at nearly $5,500.  Someone needs to tell younger generations to slow their roll. Millennials are up 32%. Gen Z balances are up 72%.  
Delinquencies are still at pre-pandemic levels—but if the job market softens and layoffs increase, look out below. 
I’m Dave Spano from Annex Wealth Management.  That is your Know the Difference Minute.