NPR’s Chris Arnold reports on the alarming number of Americans now using credit cards to pay rent and what that could mean for housing affordability crisis.
With their savings running out, many Americans are being forced to use credit cards to pay for bills they can’t afford — even their rent. Housing experts and economists say this is a blinking-red warning light that without more relief from Congress, the economy is headed for even more serious trouble.
There’s been as much as a 70% percent increase from last year in people paying rent on a credit card, according to an analysis by the Federal Reserve Bank of Philadelphia.
“If you’re putting your rent payments on to a credit card, that shows you’re really at risk of eviction,” says Shamus Roller, executive director of the nonprofit National Housing Law Project. “That means you’ve run out of savings; you’ve probably run out of calls to family members to get them to loan you money.”
Read more here.
