PITTSBURGH -- First, the housing market went south, then the stock market. Now there are growing fears of yet another collapse on the horizon -- this time, the credit card industry.

Is Credit Card Debt Next Big Economic Crisis?

The problems could already be affecting some consumer's finances and is the reason for growing talk of a possible credit card bailout.

That bailout wouldn't be for the card companies, but rather for card holders.

"This could be the next shoe that drops in the credit card market, or in the credit markets in general," said Jay Sukits of the Katz School of Business.

Just as homeowners suddenly couldn't pay their mortgages, sending them into foreclosure, credit card holders in a bad economy are struggling to pay their credit card bills. And that could send them into default.

Now the fear is the banks issuing the cards, and their investors, could suffer such massive loses they too could collapse.

"I think that would be devastating for the economy," said Sukits.

There are already signs of problems. Credit card companies are issuing fewer cards, raising interest rates and lowering credit limits, which can hurt your credit score.

"The best thing people can do is, if at all possible, stop using their credit cards and start paying down the balances, said Kristen Garrett of Advantage Credit Counseling.

Economist Robert Strauss said in all the bailout talk, Washington forgot to help average Americans.

"There's going to be political hell to pay," said Strauss.

Consumer groups are now calling for a bailout of credit card customers. Proposals would change the law, making it easier for credit card companies to reduce the debt of anyone close to bankruptcy.

"What they're going to find is they're going to have to pony up. And the worst case, there is going to be liens and capture of property," Strauss said.

Unlike the Wall Street bailout, the proposed credit card bailout would not require tax dollars. The thinking is that if a credit card company truly believes you're going to file for bankruptcy it would rather collect some money over time, then none at all.

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