Financial newsletter writer Lior Gantz says the most dangerous debt problem in the world is not debt held by governments, but personal debt held by the public. Gantz says, “Personal consumer debt is at an all-time high.
When student debt is at an all-time high, when mortgage debt is at an all-time high, when you have car loan delinquencies at an all-time highs, these are debts the government will not insure. You don’t think the government will come in and save every student or people with credit card debt, do you?
This is the debt people need to worry about. What happens when the people can’t pay their own debt? That is a game changer because that will not be backed by any government. This could create the avalanche that will send the markets tumbling down.”
- Source, USA Watchdog
