MIAMI—The Federal Reserve Bank of New York’s new data on household debt reveals U.S. households owe a record amount in absolute terms ($17.94 trillion) as of Q3 2024.
But that record, when adjusted for inflation, is not a milestone, WalletHub reported.
WalletHub’s inflation-adjusted analysis reveals that while U.S. households owe that record total, when it is inflation-adjusted the debt is roughly 6% below the record from 2008.
Key Findings From The Report
Q3 Results: Total household debt increased by $83 billion during Q3 2024.
Household Average: The average household owed a total of $149,358 at the end of Q3 2024, which is $13,357 below the all-time high.
Total Debt-to-Deposits Ratio: Despite increasing recently, the ratio of total household debt to deposits indicates consumers are in good shape, as it's still below pre-COVID levels and roughly 46% lower than its early 2000s peak.
Total Debt-to-Assets: The ratio between total household debt and assets continues to be at a very healthy level of around 9.7%.
Forecast Calls for More Debt: Nearly two in five people expect their household debt to increase in the next 12 months.
Full study: https://wallethub.com/edu/d/household-debt-report/120725