WASHINGTON—Americans added far less credit card debt this summer than they did a year ago, signaling that households may be regaining financial footing heading into the holiday shopping season, according to new projections released by WalletHub ahead of Friday’s Federal Reserve data.
WalletHub estimates that consumers added $11 billion in credit card debt during the third quarter of 2025 on an inflation-adjusted basis—a 48% smaller increase than the buildup seen in Q3 2024. The group will publish its full Credit Card Debt Study on Friday afternoon, shortly after the Fed releases official figures.
Despite the uptick, total credit card balances remain well below pandemic-era highs. WalletHub projects roughly $1.32 trillion in outstanding balances for Q3, around 13% below the all-time peak.
Households also appear to have regained some financial breathing room. The average household balance is projected to finish Q3 at $10,983, adjusted for inflation—$2,077 below the historical record.
WalletHub said the more moderate pace of borrowing reflects improving consumer behavior ahead of the year-end spending rush.
“Consumers are getting their act together ahead of the holidays, like kids on their best behavior with Santa and the Elf on the Shelf watching,” said John Kiernan, WalletHub editor. “Not only did we add significantly less debt to our tab in the third quarter this year compared to the same time last year, but preliminary data for October is expected to show almost no change in debt year over year. If we can keep this up, it would be great news for the financial health of U.S. households and the economy more broadly. But if history is any indication, we’re in for a massive influx of debt before 2025 comes to a close.”