BBB Urges Careful Lender Selection as U.S. Household Debt Hits Record $18.8 Trillion
Updated
Updated · KOMO News · May 24
BBB Urges Careful Lender Selection as U.S. Household Debt Hits Record $18.8 Trillion
2 articles · Updated · KOMO News · May 24
$18.8 trillion in U.S. household debt has prompted the Better Business Bureau to warn consumers that lender choice can determine whether debt stays manageable or spirals into broader financial trouble.
More than 400 complaints and nearly 400 negative reviews from Washington residents in the past year involved banks, credit unions, credit card companies and related services, with communication and transparency cited most often.
BBB said unresolved servicing problems can trigger late or missed payments, overdraft fees, damaged credit and collection disputes, while some borrowers described payoff terms and collection practices as misleading or harmful.
BBB advised consumers to compare fees and rates against service quality, verify federal insurance—FDIC for banks and NCUA for credit unions up to $250,000—and review complaint histories, accreditation and company responses before borrowing.
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