Household debt in the U.S. 2023, by category | Statista (2024)

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Household debt in the U.S. 2023, by category | Statista? ›

Consumers in the United States had over 16 trillion dollars in debt as of the third quarter of 2023. The majority of that debt were home mortgages, amounting to approximately 11.4 trillion U.S. dollars. Student and car loans were the second and third largest component of household debt.

Some of the most common types of debt in America include credit cards, student loans, auto loans, home equity lines of credit (HELOCs), and mortgages.

The average debt an American owes is $104,215 across mortgage loans, home equity lines of credit, auto loans, credit card debt, student loan debt, and other debts like personal loans.

U.S. Household Debt Is at an All-Time High

The total household debt of $17.3 trillion entering 2024 is a new high for the U.S. The largest increase in any category was credit card debt, which swelled by 16.6% between Q3 2022 and Q3 2023, the most recent term for which federal data was available.

As of February 2023, the Japanese car manufacturer Toyota was the company with the highest debt worldwide, amounting to 217 billion U.S. dollars. The Chinese property developer Evergrande followed in second with a debt of roughly 170 billion U.S. dollars, with Volkswagen following in third.

The national debt can also be classified into marketable or non-marketable securities. Most of the marketable securities are Treasury notes, bills, and bonds held by investors and governments globally.

The biggest contributor to national debt, along with years of elevated budget deficits and colossal federal spending during the pandemic, is spending on national emergencies, like major wars and rising healthcare costs, according to Krosby.

Nearly half of all US foreign-owned debt comes from five countries. All values are adjusted to 2023 dollars. As of January 2023, the five countries owning the most US debt are Japan ($1.1 trillion), China ($859 billion), the United Kingdom ($668 billion), Belgium ($331 billion), and Luxembourg ($318 billion).

Top sources of personal debt

Credit cards continued to be the main source of debt for U.S. adults, accounting for more than double any other source cited by survey respondents. Personal education loans crept up to the third biggest source of debt, compared to fifth-place last year.

What percent of Americans live paycheck to paycheck? ›

A majority, 65%, say they live paycheck to paycheck, according to CNBC and SurveyMonkey's recent Your Money International Financial Security Survey, which polled 498 U.S. adults. That's a slight increase from last year's results, which found that 58% of Americans considered themselves to be living paycheck to paycheck.

The average American household now owes $7,951 in credit card debt, according to the most recent data available from the Federal Reserve Bank of New York and the U.S. Census Bureau. But that's just the average.

Over the past 100 years, the U.S. federal debt has increased from $403 B in 1923 to $33.17 T in 2023. Comparing a country's debt to its gross domestic product (GDP) reveals the country's ability to pay down its debt.

Around 23% of Americans are debt free, according to the most recent data available from the Federal Reserve. That figure factors in every type of debt, from credit card balances and student loans to mortgages, car loans and more. The exact definition of debt free can vary, though, depending on whom you ask.

Mortgage debt, which makes up the largest percentage of all consumer debt, provides the most financial benefits to consumers. For example, home ownership can help build personal wealth and financial stability, while annual tax deductions are generally available for those with qualifying mortgage interest expenses.

Total consumer debt continues to break records, raising concerns about financial stress and the overall outlook for consumer spending. The New York Fed recently reported that consumer debt reached $17.7 trillion in 2024:Q1.

Some common types of consumer credit are installment credit, non-installment credit, revolving credit, and open credit.