THE US CONSUMER IS RUNNING OUT OF MONEY. Americans now hold a record $1.33 TRILLION in credit card debt. That number has more than doubled from pre-pandemic levels. At the same time, credit card interest rates are sitting above 22%, one of the highest levels in modern history. This means millions of households are now borrowing at extremely expensive rates just to keep up with everyday spending. The average household with credit card debt now owes around $10,000-$11,500. And people are staying in debt longer. Around 61% of borrowers are now carrying balances for more than a year, a sharp increase from 2024. This is a major shift because credit cards were once mostly used for short-term spending and convenience. Now they are increasingly being used to cover basic living costs. Food prices remain high. Housing costs are still elevated. Savings rates have dropped sharply. Wage growth is no longer keeping up for many households. Many Americans are now spending almost everything they earn while relying on debt to close the gap. And this matters because consumer spending drives nearly 70% of the US economy. When consumers become financially stretched, the impact eventually spreads across the entire system. Retail spending slows. Travel demand weakens. Corporate earnings come under pressure. Banks start facing higher defaults and losses. This is already beginning to show up in delinquency data. Serious credit card delinquencies have surged more than 50% since 2022. Historically, rising delinquencies have appeared several quarters before recessions. It happened before the 2001 recession. It happened before the 2008 financial crisis. The stock market may still be near highs. But underneath the surface, financial pressure on households continues to build.(Crypto Rover)