Consumer Credit Card Debt Hits All-Time High at $180 Billion
By: Kerry Pipes
Published: March 13th, 2023
Consumers and credit cards are looking like a bad combination once again. Consumer credit card debt rose to an all-time high of $180.3 billion during 2022. The fourth quarter alone saw $85.8 billion, marking the largest quarterly increase ever. This data and more are reported in the new WalletHub Credit Card Debt Study.
“The latest credit card debt statistics tell us that U.S. consumers are on a dangerous trajectory. We racked up a record $180.3 billion in credit card debt during 2022, so it’s no surprise that 56% of people say they have more credit card debt than they did 12 months ago, according to a new WalletHub survey, and 57% of people with credit card debt say it will take more than a year to pay off,” said Jill Gonzalez, WalletHub analyst.
Here are some key findings from the Credit Card Debt Survey:
- More Debt in 2023. 56% of people say they have more credit card debt than they did 12 months ago.
- Worries Over Cost of Debt. 66% of Americans are worried about the cost of their credit card debt increasing due to interest rate hikes by the Federal Reserve.
- Long Road to Repayment. 57% of people with credit card debt say it will take them more than a year to pay it off (a 21% increase from 2022).
- Bad Spending Habits. More than a quarter of Americans admit they’d go into credit card debt for frivolous spending.
- Personal Finances Managed Better Than Government. 85% of Americans say their personal finances are managed better than the federal government.
- Debt Stress. 45% of people say credit card debt makes them feel stressed.
- Desperate for Relief. More than 1 in 3 Americans with credit card debt say they would do anything to be debt-free.
- Looking for Lower Rates. 83% of Americans say they will try to lower the interest rate on their credit card debt in 2023.
You can view the full results of WalletHub’s study here Credit Card Debt Survey.
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