Debt is hard to manager, and for some, it might be getting even tougher. Experts say the Fed rate hike last week was necessary to fight inflation, but if you carry a monthly credit card balance, it’s about to become even more costly. It’s coming at a time when a record number of Americans are seeking help with credit card and personal loan debt.
Enrollment in debt management programs has reached a 10-year high as household expenses continue to mount across the country. Consumers ages 30 to 61 seeking debt relief carry an average of $43,000 to $53,000 in personal loans and credit card debt.
Ted Rossman, a consumer financial analyst with the non-profit credit counseling organization Money Management International (MMI), noted that multiple financial burdens are converging on families.
“Unfortunately, it’s getting worse for a lot of households,” Rossman said. “Whether we’re talking housing or food or transportation, medical care, child care, all these things have really stacked up on households.”
For Braddock Hills resident Eve Bender, personal finances became critical after she suddenly lost her job in March 2025. Bender shares her home with one dog and four cats, budgeting approximately $500 a month for pet food and supplies, but unexpected medical bills quickly created extra strain.
“It was really scary and I was unemployed for about a year and a half,” Bender said. “Even one health visit to an emergency vet can rack up over $2,000, $3,000.”
When her credit card debt reached $12,000, Bender searched online for financial solutions, which led her to non-profit credit counseling. Rossman explained that options for eliminating debt depend heavily on an individual’s credit score and overall debt load.
“If you have great credit and you have four or $5,000 in credit card debt, a balance transfer might be your best option,” Rossman said. For individuals carrying $10,000 or more in debt with lower credit scores, Rossman noted that credit counseling and debt management offer a more structured path to relief.
Money Management International assists consumers by negotiating directly with credit card companies to lower interest rates. Bender had previously used MMI’s debt management services while living in Washington, D.C.
“They got the interest rate down to 6%, which was doable, very doable,” Bender said.
After seeking help from MMI again, Bender is scheduled to pay off her credit card debt by 2026.
“I’m optimistic for myself, but I feel a lot of empathy for everybody out there who’s going through it, because I know what it’s like,” Bender said.
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