Credit card debt has reached a new record high of $1.13 trillion, according to data from the Federal Reserve Bank of New York.
Driving the news: Credit card debt increased by $50 billion over the fourth quarter of 2023.
- That’s a 4.6 percent increase from the previous quarter.
- Household debt also reached $17.5 trillion in the fourth quarter, rising by $212 billion.
- Mortgage balances increased by $112 billion over the period to reach $12.25 trillion.
- Auto loan balances increased by $12 billion to total $1.61 trillion.
- Average delinquency rates also increased in the fourth quarter, with 3.1 percent of outstanding debt in some stage of delinquency.
What they’re saying: “Credit card and auto loan transitions into delinquency are still rising above pre-pandemic levels,” said Wilbert van der Klaauw, economic research advisor at the New York Fed. “This signals increased financial stress, especially among younger and lower-income households.”
