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Dear New Yorkers,

New data released in the last two months has fleshed out a troubling economic outlook for many New Yorkers: rising credit card debt, coupled with wages that are failing to keep up with inflation.

Plus, the COVID-era relief programs that helped low-income New Yorkers have dried up.

“We have a clear picture that low-income households are relying on credit to be able to survive in New York,” said Lauren Melodia, an economist at the Center for New York City Affairs who tracks the local economy.

Credit card debt on a per capita basis has been increasing faster in New York City than the rest of the nation since early 2021. It has jumped 11% so far this year compared with 2023, according to an analysis by City Comptroller Brad Lander.

The percentage of credit card debt that has recently become delinquent has more than doubled since early 2021 and is now above 2.5% also increasing at a faster rate than in the rest of the country.

If these trends continue, more New Yorkers will fall into severe financial distress, more will turn to safety net help like SNAP food benefits, and the economy will suffer as consumer spending declines.

Read more here about how working New Yorkers are feeling squeezed in the post-pandemic economy.

Weather scoop by New York Metro Weather Tuesday's Weather Rating: 4/10. Patchy fog will give way to warm temperatures and partly cloudy skies this afternoon. High temperatures in the mid-80s are fine, but dew points climbing into the 60s are less than ideal. The vibes are uncomfortable once again …

Our Other Top Stories

Mayor Eric Adams has a controversial pick to be the top lawyer for the corporation counsel — representing not just the mayor, but also all municipal employees and the City of New York itself, in litigation. Randy Mastro, a partner at the firm King and Spalding and the longtime chair of good government group Citizens Union, served as a top aide to former Mayor Rudy Giuliani in the 1990s, and is currently representing the State of New Jersey in a suit against New York. Mastro’s confirmation will be an uphill battle: the City Council is holding a hearing about it today, and 34 of 51 Council members have already said they won’t confirm his nomination. On the latest episode of the FAQ NYC podcast, the hosts discuss Mayor Eric Adams’ low profile at last week’s Democratic National Convention in Chicago, the so-called Central Park Five’s powerful appearance there and why it’s good that Beyoncé didn’t show up after all. They also dig into the city’s surge in COVID cases, the latest death of a detainee at Rikers and — speaking of Central Park — RFK Jr.’s bizarre bear story. Listen here.

Things To Do

Here’s what’s going on around the city this week.

Wednesday, Aug. 28: A meetup for urban gardeners facing climate change — and climate despair. Free from 6 to 7:30 p.m. at La Plaza Cultural in Manhattan. Friday, Aug. 30: A weekly Prospect Park Wellness Walk. Free from 10 a.m. to 12 p.m., departs from the Audubon Center. Saturday, Aug. 31: A historic trolley tour of Green-Wood Cemetery, hosted by expert guides, from 1 to 3 p.m. Tickets are $25 for members, $30 for non-members.

THE KICKER: Where do the city’s marquees and signs go when they get too old? The lucky ones end up in the New York Sign Museum.

Thanks, as always, for reading. Make it a great Tuesday.

Love,

THE CITY

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