No Credit Crunch offered by CC companies, just “advances to go” and collect bankruptcy


In the below chart you can see that Credit Card debt has escalated, (Note the consistent jumps around the holiday session.

(Click here to enlarge) What you may find more interesting is that CC limits (Total available credit) have expanded much faster than people can get into debt!
As can be seen below NZ’ers still have another 10+ billion of credit card debt to rack up yet!

(Click here to enlarge)

Why are credit limit expanding so much faster that Debt?

Well one reason could be in the way our debt money systems works, borrowing must increase to create more money to pay interest on the total money supply.

See my article here to understand how that works.

Also some earler work I did on the math of a credit bubble can be found here.

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