Wheels coming off the consumer

There are some disturbing trends that are showing how badly the wheels are coming off the consumer. Obviously, credit is getting tougher to come by which is affecting refinancing and HELOCS. This is cutting down on the discretionary spending ability of consumers. More concerning are the major trends upward in the number of 401k loans, credit card usage for necessities and increasing defaults on mortgages/cars/boats. Consumers are tapping areas of cash they shouldn't be to support spending habits they shouldn't have. This is going to end very badly for the consumer. Look for the bankruptcy laws to be repealed soon as personal bankruptcies skyrocket over the next 2-3 years. There will be some records smashed in my opinion.