AP: Macy’s is warning of a spike in customers who are failing to make credit card payments, adding to the evidence of mounting financial stress on consumers.
The iconic department store had anticipated delinquencies would climb following a post-Covid lull. But Macy’s management has been caught off guard by the magnitude of the uptick.
“The speed at which the increase occurred for us and the broader credit card industry…was faster than planned,” Adrian Mitchell, Macy’s chief operating officer and chief financial officer, told analysts during an earnings call on Tuesday, adding that this problem “accelerated” in June and July.
This situation is hurting Macy’s business, driving down credit card revenue by 36% year over year and contributing to a quarterly loss, he said. Citing worsening consumer leverage metrics, Macy’s is bracing for a further increase in “bad debt” in its credit card portfolio. more
Signaling “mounting financial stress”, or a natural consequence of telling people they don’t need to pay back their debts?
If you tell people long enough that their debts should be written-off because of some misguided social dogma, these same liberal-leaning companies that support this drivel should not be surprised when the same toxic wave of stupidity starts crashing on their shoreline.
Maybe our benevolent corrupt dictator could forgive the credit card
Debt too! Bidenomics is working so well that the stores don’t need those payments. And these CEOs probably are all in and woke so they get what they deserve.
And those of us left who actually pay our bills surely don’t mind paying off others debt through higher prices 😡
If you pay your credit card debt you won’t have enough left for housing. Bidenomics.
The next Plandemic will fix everything… for a little while.
All of this pain and pressure on the consumer and capitalism is deliberate.
You will have nothing and our elite overlords will have everything.
Look at all the deliberate stress the Green Machine is putting out. No lawn mowers, no gas vehicles, no AC, no fridge, no gas stove, no ceiling fans, no light blubs etc.
It’s all designed to break us abd start a civil war before the election so they can declare a national emergency and use the full power of the gubmit against us.
The picture ain’t pretty, inflation, recession, personal bankruptcy, lock downs, war, whatever ValJar can destroy she will at the behest of the cabal.
The best cure for credit card debt is a pair of scissors and cash.
I learned that as a young adult whose job disappeared with no warning.
I stopped going to Macys when they started virtue signaling about BLM and every other “latest thing”. Bye Macys.
Yet, people are driving to Macy’s in a vehicle that they haven’t made payments on in months, no insurance, and ready to take on more debt that they have no intention of paying. Some of the best videos out there are tow truck drivers recovering delinquent vehicles, and the reaction of the people its registered to. 🙂
Since I paid off all my credit card debt a few years ago I no longer have any credit cards and do not want to take on more debt to the credit card companies ever again. If I don’t have the money, I’m not tempted to buy something I might not need. Or want just because everyone else is doing it and I gotta keep up with the Jones.
Ever notice when they “sound the alarm”, it’s already too late?
We didn’t learn from the previous government debt-generated financial “crisis” created, we deserve another ’29.
Slow Joe could solve this by “forgiving” Student Loans; then those people could use their Student Loan money to pay on their Macy’s Credit Card while those of us “suckers” who never had Student Loans and/or paid their Student Loans pay higher Taxes to cover those “forgiven” Student Loans. See how easy that was …
Just so happens that MACYS is a Soros “friend” and buys their merchandise from cheap poorly manufactured Chinese factory owners.
They(Macys)supported the dims, screw them. Sad thing about it is that they won’t learn anything from their mistakes.
I use the credit card companies money for a month INTERST FREE…
Then I payoff the credit card bill 100%… the kicker you ask???
I also get cash back on my purchases… LOL
You gotta be smarter than the credit card companies folks, beat them at their own game… seriously…
I think I have mentioned before that credit companies do not have the money they “lend.” They merely have permission to print money from the Fed. Credit card debt adds to the deficit.
It is sad how people get suckered into a black hole. A few years ago I applied for a business credit card. I had a choice: one card had air miles and lots of goodies at 21% interest, the other had no goodies at 3% interest. Many people would take the card with the goodies then they would rack up a huge balance that they would carry over and never pay off.
I liked Macy’s better when they used to be The Bon Marche.
Credit card companies have a 1.5-3% service fee for every transaction and that gets passed on to the consumer through higher prices. Nobody uses a credit card for free even if it’s paid off monthly.
Now, Imagine making 1.5-3% off of every single transaction. in a multi-trillion dollar world economy. That’s why they want us to go cashless.
@Geoff Yep! The Bon Marche was much nicer. Many moons ago, I’d go into downtown Seattle to do Christmas shopping, with a friend. We’d go all over-never worried about our safety. I enjoyed the Christmas windows there and at Nordstroms.
The closest Macy’s to me closed years ago. I quit shopping there anyway as their clothes looked cheap and ugly. The floor design and displays were careless and cluttered. Oh well.