The unemployment rate in the US rose from five to 5.5 percent between April and May, according to official figures released today.

Unemployment is now at its highest level since October 2004, the Department of Labor statistics reveal.

Americans struggling to make ends meet may find that short term loans help them pay for essentials items in times of financial difficulty.

The increase in jobless rates over the course of the last two months was the biggest one-month hike in more than 20 years. February 1986 was the last time this monthly figure was at such a high level.

Some 49,000 jobs were cut between April and May, while payrolls have been reduced for five consecutive months, according to the Associated Press.

"For the average American there is not debate that the economy is in a recession," Mark Zandi, chief economist at Moody's Economy.com, told the news agency.

"That's because their net worth is lower, their purchasing power is lower and it is tough to find a job."

He added that people who lose their jobs are finding it "tough" to get back into employment.

Media reports suggest that Hispanic people have been hit particularly hard by job losses.

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