Many households have a negative net worth, study finds

Feeling like you’re drowning in credit card debt, student loans and medical bills?

If you are, you’re likely not alone — and that could explain why everywhere you turn you hear ads offering some quick-fix deal to cope with debt.

About one in five U.S. households owe more on credit cards, medical bills, student loans and other debts that aren’t backed by collateral — so not including car loans — than they have in savings, checking accounts and other liquid assets, according to a new University of Michigan report.

“Some families have not been able to make substantial headway,” said Frank Stafford, an economist at the U-M Institute for Social Research and co-author of the report, in a statement…...read more

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