If you have credit card debt, you're not alone. On average, Americans carry $6,194 in credit card debt, according to the 2019 Experian Consumer Credit Review. And Alaskans have the highest credit card balance, on average $8,026.
Key credit card debt statistics
Here's a look at a few of the most recent key credit debt statistics, according to Experian: Average credit card balance: $5,221.
According to a 2020 Experian study, the average American carries $92,727 in consumer debt. Consumer debt includes a variety of personal credit accounts, such as credit cards, auto loans, mortgages, personal loans, and student loans.
15% of Americans Have Been in Credit Card Debt for 15 Years
A separate survey conducted by Inside 1031 found that 55% of people carry a credit card balance from month to month. In addition, 40% haven't been credit card debt-free since before 2018 — and 15% have had credit card debt since before 2006.
The average debt for individual consumers dropped from $6,194 in 2019 to $5,315 in 2020. In fact, the average balance declined in every state.
If your total balance is more than 30% of the total credit limit, you may be in too much debt. Some experts consider it best to keep credit utilization between 1% and 10%, while anything between 11% and 30% is typically considered good.
Average American credit card debt
How much credit card debt does the average American have? The average balance is $5,221 as of the third quarter of 2021, according to Experian. Although that's a large amount, it's a 1.8% decrease from 2020, and it's much lower than it was before COVID-19.
So how much non-mortgage debt do Americans have? According to Northwestern Mutual's 2021 Planning & Progress Study, U.S. adults aged 18 and over who carry debt hold an average of $23,325 outside of their mortgages.
Key Takeaways. Debt-to-income ratio is your monthly debt obligations compared to your gross monthly income (before taxes), expressed as a percentage. A good debt-to-income ratio is less than or equal to 36%. Any debt-to-income ratio above 43% is considered to be too much debt.
High credit may also be called “high balance” or “original amount.” This figure is the highest monthly balance or highest amount of credit you have owed on a specific credit card account or loan during a particular period of time as determined by the bank.
Married consumers carried a total average debt of $112,627 in Q2 2019—that's over $61,000 more than the single consumer average and roughly $20,000 more than the national average debt load of $92,479.
A Credit Karma Study
According to our May 25, 2022, report of 73 million Credit Karma members with credit cards, Credit Karma members held more than $374 billion in credit card debt across more than 311 million open accounts. Average credit card debt by member was $6,198.
A good annual income for a credit card is more than $39,000 per annum for a single individual or $63,000 per year for a household. Anything lower than that is below the median yearly earnings for Americans.
Here's the average debt balances by age group: Gen Z (ages 18 to 23): $9,593. Millennials (ages 24 to 39): $78,396. Gen X (ages 40 to 55): $135,841.
Kevin O'Leary, an investor on “Shark Tank” and personal finance author, said in 2018 that the ideal age to be debt-free is 45. It's at this age, said O'Leary, that you enter the last half of your career and should therefore ramp up your retirement savings in order to ensure a comfortable life in your elderly years.
Americans carried a balance on 53% of all active credit card accounts in the fourth quarter of 2021, 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.
Credit scores are three-digit numbers that show an important piece of your financial history. Credit scores help lenders decide whether to grant you credit. The average credit score in the United States is 698, based on VantageScore® data from February 2021.
The average American has $90,460 in debt, according to a 2021 CNBC report. That included all types of consumer debt products, from credit cards to personal loans, mortgages and student debt. The average amount of debt by generation in 2020: Gen Z (ages 18 to 23): $16,043.
1. In 2020, the average American's debt payments made up 8.69% of their income. To put this into perspective, the average American allocates almost 9% of their monthly income to debt payments, which is a drop from 9.69% in Q2 2019.
According to the Federal Reserve, only 45% of U.S. cardholders pay their card balance every month. Here's a closer look at the card payment numbers from the Fed: 45% always pay their card balance in full each month.
The average American have 4 credit cards, according to the 2019 Experian Consumer Credit Review.
If you take a closer look at average debt by age, those in the younger part of Generation X, between the ages of 35 and 44, had $93,700 of debt, with the older half of this generation (between 45 and 54 years old) close to that at $89,900.