{"id":2239202,"date":"2024-05-07T13:42:02","date_gmt":"2024-05-07T17:42:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gen-z-watching-their-debt-climb-amid-soaring-rent-food-prices\/"},"modified":"2024-05-07T13:46:01","modified_gmt":"2024-05-07T17:46:01","slug":"gen-z-watching-their-debt-climb-amid-soaring-rent-food-prices","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gen-z-watching-their-debt-climb-amid-soaring-rent-food-prices\/","title":{"rendered":"Gen Z Struggling with Rising Debt Due to High Rent and Food Costs"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fgen-z-watching-their-debt-climb-amid-soaring-rent-food-prices%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2239202&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Generation Z, the cohort born between 1997 and 2012, faces increasing financial challenges due to rising\u200b personal \u200bdebt, exacerbated by low\u2064 wages \u200dand inflation. Many resort\u200b to credit\u2063 cards for necessities like food and rent. Rent costs, surpassing\u200d property prices, drive up debt \u200camong young adults. Data shows a significant rise in <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/stephen-moore-to-newsmax-dumbest-thing-to-pass-2t-debt-bill\/\" title=\"Stephen Moore to Newsmax: 'Dumbest Thing' To Pass T Debt Bill\">credit card balances<\/a> among the\u2063 22 \u2062to 24 age \u2062group. \u2062Generation Z, born \u2062between 1997 and 2012, grapples\u200b with mounting financial hurdles linked to\u2063 growing \u200dpersonal debt, worsened by meager wages and inflation. To\u200b cover essentials such as food and\u200c rent, \u2062many turn\u200d to credit cards. \u200cSkyrocketing rent costs outpacing property rates contribute to the debt spike in young adults. Recent data \u200bhighlights a substantial \u2062surge in credit card balances for individuals aged 22 to 24.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p>Generation Z\u2019s efforts to be financially independent are slowed by their mounting personal debt, a problem that appears only to be getting worse for the youngest adults.<\/p>\n<p>Gen Z young adults in their early to mid-20s, most of whom have just entered the workforce or are trying to do so, are plagued by stubbornly low wages and record inflation over the past few years, pushing them into debt, The Wall Street Journal <a href=\"https:\/\/www.wsj.com\/personal-finance\/gen-z-credit-card-debt-inflation-2f2f927e\" target=\"_blank\" rel=\"noopener\">reported<\/a>. Those born between 1997 and 2012 are generally considered to be part of Generation Z.<\/p>\n<p>Many turn to credit cards just to cover the basics like food and rent.<\/p>\n<p>For young adults 22 to 24, the average credit card balance was $2,834 in the last quarter of 2023, according to credit-reporting agency TransUnion. Back in 2013, the average balance for this group was only $2,248, adjusted for inflation.<\/p>\n<p>Rent is likely the main driver of young people\u2019s climbing debt. It is now <a href=\"https:\/\/www.dailywire.com\/news\/its-now-often-cheaper-to-rent-than-buy-property#\">cheaper<\/a> to rent than to buy property.<\/p>\n<p>Thanks to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/psaki-says-rising-housing-prices-are-actually-good-for-some-families-economic-recovery-will-produce-some-bumps\/\" title=\"Psaki Says Rising Housing Prices Are Actually Good For Some Families, Economic Recovery Will \u2018Produce Some Bumps\u2019\">rising housing prices<\/a> and mortgage rates, renting a two-bedroom residence is cheaper than buying that property for about 89% of Americans, <a href=\"https:\/\/web.archive.org\/web\/20231128140139\/https:\/\/www.economist.com\/graphic-detail\/2023\/11\/28\/is-it-cheaper-to-rent-or-buy-property\" target=\"_blank\" rel=\"noopener\">according<\/a> to a November analysis by The Economist.<\/p>\n<p>In March, the median rent in the U.S. was $1,987, up nearly 22% compared to the past four years, <a href=\"https:\/\/www.rent.com\/research\/average-rent-price-report\/\" target=\"_blank\" rel=\"noopener\">according<\/a> to Rent, an online rental marketplace that targets young adults.<\/p>\n<p>Meanwhile, wages have not increased nearly that much.<\/p>\n<p>Last year, the median annual wage for recent college graduates was $60,000, not much higher than $58,858 in 2020, <a href=\"https:\/\/www.wsj.com\/personal-finance\/gen-z-credit-card-debt-inflation-2f2f927e\" target=\"_blank\" rel=\"noopener\">according<\/a> to Federal Reserve of New York data.<\/p>\n<p>Meanwhile, after the pandemic, credit card companies made it easier for people to get credit cards. This led to more Gen Z young adults opening accounts \u2014 they were more likely to have at least one credit card compared with millennials a decade ago, according to data from TransUnion.<\/p>\n<p><b><a href=\"https:\/\/onelink.to\/dwapp\" target=\"_blank\" rel=\"noopener noreferrer\" aria-describedby=\"sk-tooltip-9096\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/onelink.to\/dwapp&#038;source=gmail&#038;ust=1715167897594000&#038;usg=AOvVaw0ZhOYl1hUvyplEJT3QwTSU\">CLICK HERE TO GET THE DAILYWIRE+ APP<\/a><\/b><\/p>\n<p>During the pandemic, many people\u2019s credit scores, including Gen Z\u2019s, rose as stimulus checks hit bank accounts and many places to spend money remained temporarily shuttered. However, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/china-to-leapfrog-u-s-as-worlds-biggest-economy-by-2028-think-tank\/\" title=\"China to leapfrog U.S. as world\u2019s biggest economy by 2028 \u2013 think tank\">rising interest rates<\/a> have driven down both Gen Z\u2019s and millennials\u2019 credit scores since the pandemic.<\/p>\n<p>Student debt is another huge debt driver among today\u2019s young adults. Many leftist loan holders demand taxpayers foot the bill for their loan forgiveness. At the same time, critics blame former students for taking on an unreasonable amount of debt at 18, even though, in many cases, their parents assured them that it was a good investment and did not predict the soaring inflation of the last few years.<\/p>\n<p>This confluence of financial stressors is causing young people to delay marriage, having children, and homeownership until they can support themselves, not to mention dependents.<\/p>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gen Z faces a growing challenge as personal debt hinders their path to financial independence. The youngest adults, in their early to mid-20s, are confronted with mounting debt, especially as they enter or seek to join the workforce. This issue is exacerbated by persistently low wages, posing a significant obstacle to their financial stability<\/p>\n","protected":false},"author":107,"featured_media":2239203,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/dw-wp-production.imgix.net\/2024\/05\/GettyImages-1358281010.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-2239202","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"fifu_image_url":"https:\/\/dw-wp-production.imgix.net\/2024\/05\/GettyImages-1358281010.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2239202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/107"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2239202"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2239202\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2239203"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2239202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2239202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2239202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}