I have credit card debt. I know, this puts me in a truly elite club amongst Americans. Thing is, I have no idea how the volume of my credit card debt stacks up against that of others. So I was hoping you guys could help me to gain a little perspective.
Credit card debt is my only debt - no student loan repayments, no car payment, nothing. Just the normal utilities/rent each month, plus the card payment.
I am a business owner (as an independent life/health insurance agent, I technically “own my own agency”). As such, the vast majority of my debt is business related - marketing, supplies, dinners for clients, that sort of thing. Still, thanks to my abysmal bookkeeping and horrendous planning, my business debt is currently intermingled with personal debt.
I estimate that 65 - 75% of my credit card debt is business related, with the remainder being personal debt. My present card balance is $10,000, give or take a few cents. I’ll be $11,000 by the end of the week because I’m moving and have a slew of unforeseen expenses which I unfortunately must finance.
I’ve never missed a payment, and my credit is excellent. My minimum monthly payment is about $160, but I always pay more than that (how much more? Depends on the month).
So, tell me, at 24 years old with the majority of my credit card debt being related to my startup business, would you call my $10,000 of debt overwhelming, miniscule, or nothing special?
(This is one in a series of questions that I’ve always wanted to ask but have been too worried of the appropriateness of the inquiry. Next up: I always worry that I use more toilet paper than the normal person, but I have no way of telling…)