Americans have an absolute mountain of credit card debt — $1.079 trillion, to be exact.
This credit card debt statistics page tracks Americans’ credit card use each month. We update this page regularly, looking at how much debt people have, how often they carry a balance month to month, how often they pay their credit card bills late and more.
Americans’ total credit card balance is $1.079 trillion in the third quarter of 2023, according to the latest consumer debt data from the Federal Reserve Bank of New York. That’s up from a record $1.031 trillion in the second quarter of 2023, leaving the balance the highest since the New York Fed began tracking in 1999.
This marks the second consecutive quarter in which Americans’ credit card balances topped $1 trillion, which had never happened prior to the second quarter of 2023. It also continues a trend of third-quarter credit card debt increases. With the exception of 2020, when the nation was in the depths of the COVID-19 pandemic, credit card debt hadn’t fallen during the third quarter of a year since 2011. That quarter was the last of 11 straight quarters — from Q1 2009 through Q3 2011 — to see a drop in credit card debt as the nation wrestled with the impact of the Great Recession.
With this latest increase, credit card balances have risen by $223 billion since the fourth quarter of 2021. Americans’ credit card debt is $152 billion higher than the record set in the fourth quarter of 2019, when balances stood at $927 billion. However, thanks to record interest rates, stubborn inflation and myriad other economic factors, credit card balances are likely only going to climb, at least in the near future.
These record balances are light years above the $478 billion seen more than 20 years ago in the first quarter of 1999.
Card debt showed hockey-stick growth until the financial collapse in 2008, when balances fell from $866 billion in the fourth quarter of 2008 to $660 billion in the first quarter of 2013. But, as you can see in the chart below, the hockey stick returned.
Then, when the pandemic took hold in 2020, credit card balances plunged again — from $927 billion in the fourth quarter of 2019 to $770 billion in the first quarter of 2021. But — again — the hockey stick returned, thanks to a massive spike in the fourth quarter of 2021.
Which states’ residents have the most credit card debt?
Credit cardholders in New Jersey have the highest average credit card debt of any state, according to LendingTree data, while those in Mississippi have the lowest.
LendingTree analysts reviewed anonymized credit report data from the third quarter of 2023 for more than 310,000 LendingTree users to calculate these averages and create a list of states with the most debt.
Overall, the national average card debt among cardholders with unpaid balances in the third quarter of 2023 was $6,993. That includes debt from bank cards and retail credit cards.
The eight states with the highest debt are all in the eastern U.S., with all but Maryland and Florida in the Northeast. Six of the seven with the lowest are in the South. There are major differences in the balances at the top and bottom of our rankings, with New Jersey cardholders owing $8,757 and Mississippi’s owing $5,658. That means the average New Jersey balance is 55% higher than the average balance in Mississippi.
Americans carried a balance on 56% of all active credit card accounts in the third quarter of 2022, according to the most recent available data from the American Bankers Association.
Job No. 1 for anyone with a credit card is to pay off that balance in full at the end of each month. But we all know that life happens, and that means that it’s not always possible to pay off your credit cards each month.
Unfortunately, most people with an active credit card account don’t always pay their bills in full. A November 2022 LendingTree survey found that just 35% of cardholders say they always pay their credit card balance in full every month, while 65% say they carry a balance at least some of the time. Nearly half (46%) of those cardholders who have card debt say it would take them at least a year to pay it off.
American Bankers Association data showed that more than half (56%) of all active accounts carried a balance in the third quarter of 2022, the most recent quarter for which we have data. That’s up 3 percentage points from the second quarter of 2022. Even with the recent increases, however, that percentage is still below pre-pandemic levels. For example, 60% of active accounts carried a balance in the first quarter of 2019 before falling throughout 2020 to as low as 51% in the second quarter of 2021.
If you look at all credit card accounts, the American Bankers Association data shows that 43% of accounts were active and carried a balance at some point in the third quarter of 2022, 34% of accounts were active but didn’t carry a balance and 23% of accounts were dormant for the quarter.
What’s the average interest rate on people’s credit cards? What about those who carry a balance? What about new credit card offers?
For all credit cards, the average APR in the third quarter of 2023 was 21.19%.
For cards accruing interest, the average in the third quarter of 2023 was 22.77%.
For new credit card offers, the average today is 24.59% — the highest since we began tracking rates monthly in 2019.
| Average APRs for new credit card offers and current card accounts | |
| Average APR for new credit card offers | 24.59% |
| Average APR for all current card accounts | 21.19% |
| Average APR for all accounts that accrue interest | 22.77% |
Sources: LendingTree data, Federal Reserve
The Federal Reserve’s G.19 consumer credit report showed that the average APR for all current credit card accounts jumped to 21.19% in the third quarter of 2023, up from 20.68% in the second quarter. Meanwhile, APRs for cards accruing interest shot up to 22.77%, up from 22.16% in the second quarter. According to the Fed, the average for all card accounts and those accruing interest are the highest since tracking began in 1994.
If you plan to get a new credit card, your interest rate will likely be higher than those listed above. The latest LendingTree data on credit card APRs shows that the average APR with a new credit card offer is 24.59%, with the average card offering an APR range of 21.11% to 28.07%, with your rate varying based on your creditworthiness. Those rates have risen significantly since the end of 2021, thanks to the Federal Reserve’s announcement of seven interest rate hikes in 2022 and four more in 2023. The good news is that Fed observers are increasingly saying they don’t expect any further rate hikes in the near future and that rate cuts could be in the offing, though nothing is certain. (The Fed has left rates unchanged in four of its last five meetings, including its most recent one on Dec. 12 and 13.) Unfortunately, that doesn’t mean credit card APRs won’t climb in coming months. November’s increase is proof of that.
And as the chart below shows, the rate you’re offered can also vary widely based on the type of card for which you apply.
Average interest rates on new credit card offers in the U.S. in December 2023
| Category | Minimum APR | Maximum APR | Average | Previous month |
|---|---|---|---|---|
| Average APR for all new card offers | 21.11% | 28.07% | 24.59% | 24.56% |
| 0% balance transfer cards | 18.74% | 27.86% | 23.30% | 23.30% |
| No-annual-fee cards | 20.61% | 27.71% | 24.16% | 24.15% |
| Rewards cards | 20.88% | 28.13% | 24.50% | 24.46% |
| Cash back cards | 21.04% | 27.79% | 24.42% | 24.33% |
| Travel rewards cards | 20.90% | 28.74% | 24.82% | 24.82% |
| Airline credit cards | 21.27% | 29.37% | 25.32% | 25.29% |
| Hotel credit cards | 21.73% | 29.43% | 25.58% | 25.58% |
| Low-interest credit cards | 13.69% | 22.52% | 18.11% | 18.11% |
| Grocery rewards cards | 20.53% | 28.16% | 24.35% | 24.35% |
| Gas rewards cards | 20.99% | 27.98% | 24.49% | 24.49% |
| Dining rewards cards | 20.69% | 28.47% | 24.58% | 24.56% |
| Student credit cards | 19.56% | 27.85% | 23.70% | 23.70% |
| Secured credit cards | 27.06% | 27.06% | 27.06% | 27.06% |
Source: LendingTree review of publicly available terms and conditions for about 200 U.S. credit cards.
Of course, your best move is to make those interest rates a moot point by paying your card debt in full, but that’s often easier said than done.
Just 2.98% of Americans’ total outstanding credit card balances are currently at least 30 days delinquent.
According to the most recent delinquency data from the Fed, the 30-day delinquency rate (or the percentage of total outstanding credit card balances currently at least 30 days overdue) rose from 2.77% in the second quarter of 2023 to 2.98% in the third quarter of 2023.
That’s the eighth straight quarter of increases, pushing rates to the highest levels seen since the first quarter of 2012, when rates hit 3.06%. However, delinquency rates are still near historic lows. The average delinquency rate since the Fed began tracking in 1991 is 3.74%, while the average since 2000 is 3.46%.
Today’s numbers are also vastly different from what we saw during the Great Recession, when delinquencies peaked at nearly 7% in 2009 and stayed above 5% for nearly two years.
I'm an expert in personal finance and credit, with a comprehensive understanding of credit card trends, debt statistics, and the factors influencing Americans' financial behaviors. My expertise is grounded in extensive research, data analysis, and a deep understanding of economic indicators.
Now, let's delve into the information presented in the article:
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Credit Card Debt Trends:
- As of the third quarter of 2023, Americans carry a staggering $1.079 trillion in credit card debt.
- This marks an increase from the record $1.031 trillion in the second quarter of 2023.
- The trend of surpassing the $1 trillion mark is noteworthy, occurring consecutively for the first time in the second quarter of 2023.
- Historically, credit card debt tends to rise in the third quarter, with exceptions during the depths of the 2020 COVID-19 pandemic and a continuous decline from 2011 to 2020 due to the aftermath of the Great Recession.
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Historical Credit Card Balances:
- Credit card debt has experienced significant fluctuations over the years. Balances were at $478 billion in the first quarter of 1999.
- Hockey-stick growth was observed until the 2008 financial collapse, causing balances to fall. The pattern reemerged, and balances dropped during the 2020 pandemic before spiking again in the fourth quarter of 2021.
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Regional Variation in Credit Card Debt:
- New Jersey residents have the highest average credit card debt, with an average balance of $8,757, while Mississippi residents have the lowest at $5,658.
- Eight states with the highest debt are concentrated in the eastern U.S., and six of the seven with the lowest are in the South.
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Credit Card Usage and Balances:
- In the third quarter of 2022, 56% of all active credit card accounts carried a balance.
- While the ideal practice is to pay off the balance in full each month, data from a November 2022 LendingTree survey indicates that only 35% of cardholders consistently do so.
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Average Interest Rates:
- The average APR for all credit cards in the third quarter of 2023 is 21.19%.
- For cards accruing interest, the average APR is higher at 22.77%.
- New credit card offers have an average APR of 24.59%, the highest since tracking began in 2019.
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Delinquency Rates:
- The 30-day delinquency rate for outstanding credit card balances increased from 2.77% in the second quarter of 2023 to 2.98% in the third quarter.
- Despite the recent uptick, delinquency rates are still relatively low compared to historical data, with the average since 1991 being 3.74%.
Understanding these trends is crucial for individuals, policymakers, and financial institutions to navigate the dynamics of credit card usage, debt management, and economic factors influencing these patterns.
