If consumer defaults continue to rise in 2025, people will reduce spending on non-essentials (e.g., eating out, luxury goods), and credit card companies will face significant losses.
"if we continue to see more defaults what does that mean well if we focus on consumer defaults that means that people don't have money to keep spending on the credit card so maybe people can't keep eating out they can't keep eating at Chipotle maybe that means they're stopping buying a Gucci that also means that the credit card companies could get hurt if they have to keep filing big losses"
