The instability of oil prices doesn’t just affect how often we drive. Home heating costs are expected to skyrocket throughout the winter. Households heated by natural gas are expected to pay $350 a month this year, an increase of 48 percent from 2004. Homeowners using oil for heating will be paying $378, an increase of 32 percent. The average American may be spending 20 percent of their take-home pay on energy costs this year, according to a Wall Street Journal report.
The one-two punch of high gas and heating prices has pushed many Americans to cut their holiday shopping and pull back from purchases in order to save money, which will cut into retailer profits and further darken the economic picture.
“Now that Bush basically closed the bankruptcy door in the face of the average American challenges are ahead. With HSBC Finance Corporation gouging customers with loan balances that never go down HSBC also faces future challenges.” said advocacy group Household - HSBC Watch. “On one hand HSBC said they had very little investment in Hurricane Katrina effected areas, while on the other hand they are writing off million of dollars. Watch for possible future developments as regulators take a closer look at these HSBC write-offs and where they are actually coming from.”
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