U.S. credit card balances could hit $1 trillion this year, close to a pre-recession peak, The Wall Street Journal reports.
It's due to a mix of credit card companies newly signing up "millions of subprime consumers" and existing customers being more willing to spend, the paper reports. Banks, seeing the opportunity, are issuing more cards, raising limits, and offering better cash-back incentives to get people spending.
"We'll continue to take this opportunity as far as it will take us," said Capital One CEO Richard Fairbank in a recent investor conference call. SM