Whether it stems from a little too much indulgence in shopping or the need to manage unforeseen expenses, credit card debt is a daily burden for millions of Americans; and often accumulates before one realizes it. To question the lengths people would go to eliminate their credit card debt, CardRates.com conducted a survey involving 3,000 credit card users.
The findings revealed a trend where on average, Hoosiers are willing to work an extra 7 hours 14 minutes each week to pay off their debt. This is above the national average of 6 hours and 25 minutes.
This sentiment varied greatly across regions, where for example in South Dakota respondents were willing to work 13 hours of overtime per week until their debts were resolved, far surpassing the national average; or Vermonters were willing to work 2 hours and 40 minutes of extra time each week to address their debt.
The survey also explored what other sacrifices people are prepared to make to achieve a debt-free life, with a significant 35% of respondents saying they’d forgo personal luxuries like $7 lattes, streaming services, or new shoes. Another 24% were willing to skip or shorten vacations, 22% said they would cut back on dining out and other recreational activities, and 18% were even prepared to dip into their emergency savings.
In a hypothetical scenario posed to respondents, the survey asked if they were guaranteed to be completely debt-free, would they be willing to work a 60-hour workweek for a year? An overwhelming 91% said yes. A significant 64% of respondents also said they would be prepared to move back in with parents or other family members if it meant clearing their credit card debts.
When it comes to strategies for managing debt, about 34% of respondents favor debt consolidation, a method that combines multiple payments into one and often offers a lower interest rate. Another 24% would employ the Snowball Method, where smaller debts are paid off first to build momentum, 23% would tackle the debts with the highest interest rates first, known as the Avalanche Method, and 9% indicated that they might consider declaring bankruptcy as a last resort.
To see the full article, made be CardRates.com, visit cardrates.com/studies/americans-prepared-to-pay-off-debt-by-working-overtime/.
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