What are typical signs that a consumer is experiencing debt trouble?

The signs that indicate a consumer is experiencing debt trouble often manifest as negative financial behaviors and conditions. When a consumer is consistently missing payments, maxing out their credit cards, and engaging in constant borrowing, these are strong indicators of financial distress.

Missed payments suggest a lack of sufficient cash flow to meet obligations, while maxing out credit cards indicates that the consumer may be relying heavily on borrowed money to cover expenses. Constant borrowing can signal an attempt to cover existing debts or financial obligations without a sustainable plan, reinforcing the cycle of debt and leading to potential further financial difficulties.

In contrast, options involving consistent saving, an increase in credit score, or paying off debts ahead of schedule indicate positive financial health and stability, rather than signs of debt trouble. Frequent refinancing and obtaining new credit may seem concerning, but they can also occur in circumstances where consumers are managing their finances successfully. Hence, the behaviors outlined in the correct answer distinctly align with common patterns seen in individuals who are struggling with debt.