Household debt in America has hit a record high: Report

Americans’ household debt levels – including mortgages, car loans, credit cards and student loans – are now at a new record high, according to data released Wednesday by the Federal Reserve Bank of New York.

Total household debt reached $18.59 trillion from July through September of this year, up by $197 billion from the previous quarter. Overall debt levels are up by $4.4 trillion since the end of 2019, just before the pandemic recession.

In a call with reporters Wednesday, researchers at the New York Fed said overall household balance sheets do remain “pretty strong,” though there are some signs of weakness among younger borrowers.

The report also shows Americans’ student loan debt hit a new record, at $1.65 trillion. A lot more borrowers are missing their payments, as well; nearly 10% of all student debt was reported as 90 days delinquent, or more.

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“Missed federal student loan payments that were not previously reported to credit bureaus between 2020 Q2 and 2024 Q4 are now appearing in credit reports,” the report said. “Consequently, student loan delinquency rates remained elevated after a sharp rise in the first half of 2025.”

Researchers at the New York Fed said measuring student loan delinquencies is still complicated by the fact that payments were on pause for four years during the pandemic.

“Student loan delinquencies are at a record high, but auto loan and credit card delinquencies aren’t as high as they were in the middle of 2024,” said Bankrate senior industry analyst Ted Rossman in a research note Wednesday.

The report also shows Americans’ outstanding credit card balances increased by $24 billion to $1.23 trillion in the third quarter of this year – an all-time high. Credit card debt is up nearly 6% compared to one year ago.

Auto loan balances held steady at $1.66 trillion, according to the report.

“While there is some distress at the household level – in line with that K-shaped economy where the rich get richer and the poor get poorer – the macro picture is fairly bright,” Rossman said.