Credit card debt rises to $1.26T, nearing all-time record

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Credit card debt rises to $1.26 trillion, nearing all-time record - ABC7 Los Angeles

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Credit card debt rises to $1.26 trillion, nearing all-time record<br>Strong consumer spending plus rising prices are factors.

ByElizabeth Schulze<br>Wednesday, August 12, 2026 3:20PM

Strong consumer spending plus rising prices are factors.<br>WPVI

Americans' credit card debt reached $1.26 trillion, increasing by $21 billion in the second quarter of this year, according to new data Tuesday from the Federal Reserve Bank of New York.<br>Overall, outstanding credit card balances are now just shy of the $1.28 trillion all-time record set in the fourth quarter of last year.<br>Strong consumer spending typically results in higher credit card debt. Economists have also pointed to rising prices, including for essentials like groceries and gas, as a factor behind rising card balances.<br>Customer making a swift contactless payment with a black credit card at a modern point of sale terminal.<br>By Jonathan

Many households are also behind on their card payments.<br>The percentage of credit card balances that were more than 90 days delinquent rose from 7.6% to 12.8% from mid-2022 through early 2026.<br>"There are a lot of households who live paycheck to paycheck, and it just needs one thing to happen to them that could lead to a delinquency," New York Fed researchers said on a call with reporters on Tuesday.<br>But researchers also noted the higher delinquency rates can be attributed to old outstanding debts rather than people falling behind on new charges to their cards.<br>Americans' debt on auto loans and home equity lines of credit also increased from April through June, while student debt and mortgage debt decreased.<br>In total, U.S. household debt stands at $18.8 trillion.<br>Auto loan debt at $1.71 trillion is a new record high.

Breakdown of U.S. household debt by category:

Mortgages: $13.12 trillion<br>Auto debt: $1.71 trillion<br>Student debt: $1.65 trillion<br>Credit card debt: $1.26 trillion<br>Home equity lines of credit: $459 billion

The New York Fed report is based on an anonymized, nationally representative sample drawn from Equifax credit report data.

Report a correction or typo<br>Copyright © 2026 ABC News Internet Ventures.<br>Related Topics<br>SOCIETY<br>CREDIT CARDS<br>DEBT<br>U.S. & WORLD<br>SHOPPING<br>INFLATION<br>GAS PRICES

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