For the past couple of weeks, the debt ceiling crises has been a major news story. One story I’ve heard repeatedly is how it is going to effect everyone by the increased interest rates. The story goes on about credit card debt, car loans, and mortgages. News flash: not everyone is in debt.
A quick Internet search found a conflicting figures (of course.) Taking the middle number of three, 20% of American adults are not in debt. They not only don’t have credit card debt, they don’t have mortgages or car loans. Twenty percent is a large enough percent so that the talk about how everyone is going to be affected seems like an exaggeration. Another website said that more than half of Americans have no credit card debt.
I realize there are indirect effects. If business has to pay higher interest, prices will go up. But this is not what the commentators are telling us. Television news is increasingly watched by older people. Advertisers know this: just look at the ads. Older people are more likely to have paid off their mortgage and sensible people decrease their debts before retiring. Are those who write the news stories aware that so large a percent of their audience is not included in the “everyone” they are talking about?
My husband has commented when watching the news that he hopes the interest rates go up, because we are getting miserable returns on CD’s.