LATE PAYMENTS THROUGH THE ROOF, SAYS AMEX
The number of Americans paying their credit-card bills late is on the rise, according to American Express.
"Business conditions continue to weaken in the U.S. and so far this month we have seen credit indicators deteriorate beyond our expectations," said company CEO Kenneth Chenault. American Express adopted a "cautious view" after cardholder spending slowed and overdue payments rose in December.
As credit conditions worsen, more Americans are turning to alternate sources of funds such as cash advances -- which can be repaid quickly, allowing the borrower to avoid high interest payments. Payday advance applications are expected to increase as Americans find paying their bills increasingly challenging.
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