When banks and companies extend $1 trillion in credit card debt and struggle to collect, it has far-reaching consequences. It leads to substantial financial losses, impacting profitability and lending capacity. Shareholders and investors witness a decline in the value of their stocks or company shares, affecting market value as seen with $C, $GS, and $BAC. This situation highlights the need for careful financial management and strategic decisions to mitigate these consequences and safeguard the interests of all stakeholders.
1) there is a severe shortage of debt collectors
2) it won't last long.
3) US consumers decided they want to be the US government: max out every possible form of credit and go for it pic.twitter.com/85oW3xZGLT— zerohedge (@zerohedge) November 8, 2023
This acceleration is worse than even the 2008 Financial Crisis
Credit card defaults are rising at a rate NEVER seen since 1991 pic.twitter.com/bZLfWlFmWH
— Bravos Research (@bravosresearch) November 8, 2023
When banks/ companies lend $1 trillion in credit card debt & can't collect, it leads to:
1. Huge financial loss affecting profitability and lending ability.
2. Shareholders & investors see declining value of their stock or company value exhibit $C $GS $BAC https://t.co/TFmXXPd9nd
— The Coastal Journal (@1CoastalJournal) November 8, 2023
Big Banks Hit with $650 Billion in Unrealized Losses Amid Bond Market Plunge
Big banks are grappling with $650 billion in unrealized losses due to the Treasury market’s downturn, mirroring the conditions that led to Silicon Valley Bank’s collapse. These losses, if realized, could threaten financial stability, raising alarms over potential systemic risks. Bank of America is notably exposed, with a $130 billion shortfall. While the losses are paper-based for now, they loom over Wall Street, with bank stocks suffering and fears of another crisis simmering.