The Sneaky Ways Retail Credit Cards Are Bankrupting American Shoppers

Retail credit card debt is accounting for a greater proportion of overall debt in consumer bankruptcies in recent years. A big reason is the record high interest rates banks, including Synchrony and Bread Financial, are imposing on clients after the Consumer Financial Protection Bureau tried to cap credit card late fees at $8, down from $32, in March 2024.

Chapters:
0:00-0:20 Introduction
0:20-2:10 Regulation Z
2:10-4:45 What it means for consumers
4:45-5:33 Rise in bankruptcies
5:33-6:25 Padding profits
6:25-8:01 Responsible consumer practices

Produced and Shot by: Gabrielle Fonrouge, Hugh Son
Senior Managing Producer: Tala Hadavi
Edited by: Evan Miller
Additional Footage: AP Newsroom, Getty Images

» Subscribe to CNBC: https://cnb.cx/SubscribeCNBC
» Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision
» Watch CNBC on the go with CNBC+: https://www.cnbc.com/WatchCNBCPlus

About CNBC: From 'Wall Street' to 'Main Street' to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more.

Do you want to buy a home but don’t know where to begin? Take CNBC’s new online course How to Buy Your First Home. Register today and use coupon code EARLYBIRD for an introductory discount of 30% off $97 (+taxes and fees) through July 15, 2025: https://cnb.cx/3STNNhr

Connect with CNBC News Online
Get the latest news: https://www.cnbc.com/
Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC
Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC
Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC
Follow CNBC on Threads: https://cnb.cx/threads
Follow CNBC News on X: https://cnb.cx/FollowCNBC
Follow CNBC on WhatsApp: https://cnb.cx/WhatsAppCNBC

#CNBC

The Sneaky Ways Retail Credit Cards Are Bankrupting American Shoppers

Post from CNBC on June 19, 2025

View Original Post