In the 1980s, 38% of U.S. households headed by individuals over 65 had debt, but now that number has risen to 63%, with credit card debt being the most common. Carrying credit card debt in retirement can reduce financial flexibility and lead to trade-offs, along with a risk of depleting savings. High interest rates, averaging between 20% and 22%, can make it difficult to keep up with changing payments. Your credit score is still important in retirement, as it affects interest rates on loans and other financial decisions. Seek help if you feel trapped by credit card debt, such as through credit counseling or legal resources. If you’re struggling with credit card debt in retirement, there are resources available to help.

Read more at Nasdaq: Why Credit Card Debt Matters in Retirement