David Merowitz said he racked up thousands of dollars in debt after losing his job during the pandemic. To dig himself out, he took out personal loans, including one to help cover credit card bills.
“At the time, I was struggling as a father and as a business owner and with the economy at the same time,” he said.
RELATED STORY | More Americans are turning to personal loans to manage debt as expenses rise
Personal loan balances have reached a 20-year high, and while these loans can help cover major expenses or consolidate debt, experts warn they can also become part of a costly cycle.
Rising demand for personal loans
With inflation still running at 3.4%, more consumers are looking for ways to manage rising costs, and more are…