Credit Card Debt in the US Hits Record $1.13 Trillion

Credit Card Debt in the US Hits Record $1.13 Trillion

Credit Card Debt , in the US Hits Record , $1.13 Trillion.

According to the latest data from the Federal Reserve Bank of New York, the credit debt balance of consumers in the United States has hit a record high of $1.13 trillion.

ABC reports that in the fourth quarter of 2023 alone, credit card debt grew by $50 billion, representing a 4.6% increase from Q3.

The latest credit card debt update comes as total household debt rose by $212 billion to reach a staggering $17.5 trillion in Q4.

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At the same time, the number of U.S. consumers who have been late on making their credit card payments is also increasing.

The New York Fed's latest 'Quarterly Report on Household Debt and Credit' showed the number of delinquencies increasing across all age groups.

The numbers suggest that borrowers between the ages of 30 and 39 are missing payments at an accelerated rate.

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In the case of credit cards, it looks like things have reverted to a level that is worse than pre-pandemic, Researchers at the New York Fed, via ABC.

The rising debt includes auto loan balances, which increased by $12 billion in Q4 to reach $1.61 trillion, while the number of delinquent payments also rose.

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The rising debt includes auto loan balances, which increased by $12 billion in Q4 to reach $1.61 trillion, while the number of delinquent payments also rose.

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Researchers at the New York Fed attribute some of the increasing auto debt to lingering high prices on new and used cars since the pandemic.

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ABC reports that credit card balances first surpassed $1 trillion in August of 2023