Yra Harris of Praxis Trading said changes to the bankruptcy code, which were welcomed by banks, have encouraged consumers to pay their credit card debt rather than their mortgages. "People have learned that hey, (a mortgage payment is) a nonrecourse loan and not only that, I can stay in my house or my condominium for 12 to 18 months before they really get me out," Harris said. "We're seeing a huge amount of people paying down their credit cards, because they want to have those credit cards as rainy day money just in case they need them."

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