Americans have made 2010 the year to pay down their credit card debt, a study finds.
Almost 70 percent of survey respondents said that they pay off their balance in full each month, according to BillShrink. This is nearly 25 percent more than last year.
Before November 2009, the number of people with a credit card balance was higher than those without debt, says BillShrink.
There are several ways people have begun to tackle their credit card debt.
“One of the ways they are paying down debt is by switching to lower-interest cards,” says BillShrink CEO Schwark Satyavolu. “We’ve also found that as card issuers revamp their risk models and lower spending limits for customers, many Americans are forced to curb reckless spending behaviors.”
These positive findings might be related to the Credit CARD Act, which requires card issuers to tell consumers how long it will take them to pay off the their balance in full if only the minimum payment is made each month. The Act also prohibits issuers from charging exorbitant late fees and requires that bills be due at the same time each month.