The economy looks good because people are still spending money. On credit.
The biggest source is helocs. Most homeowners have experienced massive appreciation in home values, and now they are borrowing against that equity at 14%.
Good times.
Yeah I've had several friends do just that and I'm face palming thinking "what are you doing". I refinanced mine at the bottom, 1.99% and could pay it off now but that would be leaving a lot of moolah on the table and I invested it in private equity / debt instead and it's returning 20% a year.
