Debt is an unavoidable part of most people’s lives and even essential part of business operations. If used well, debt would allow people to accumulate wealth through property ownership and allow companies to grow by investing to projects that return more than the cost of debt. Unfortunately, life does not go according to plan sometimes.

However there is a different side to the debt problems many people facing. This is mostly to do with personal spending. In good times, people accumulate debt like there is no tomorrow. According to reports “Americans owe more than $2 trillion in creditor debt, not including home mortgage loans.” This averages out to approximately $20,000 per citizen. At good times consumers were encouraged to rely on credit, because spending is the engine of economic growth.