A new Experian report is highlighting rising personal debt in the United States. The Experian consumer debt report shows a 6% increase in personal debt from 2019, with the average U.S. consumer holding approximately $93,000 in debt.
Consumer Debt Reaches Record Highs
U.S. consumer debt reached nearly $15 trillion in 2020, according to a new report by Experian. That total is an increase of almost 25% over 2010 levels, highlighting a return to borrowing after the coronavirus pandemic.
According to Experian’s consumer debt study, consumer debt in the U.S. reached $14.88 trillion in 2020, with an average individual debt of $92,727. The rise in personal debt is noteworthy – rising by $3 trillion over 2010 levels when Experian reported $11.32 trillion in total personal debt. Last year, the same report noted $14.88 trillion in personal debt, making the 2020 levels a 6% increase.
Debt Not Evenly Distributed Amongst Age Groups
However, that debt is not distributed evenly, with Gen X holding the most debt – and Gen Z the least on average. The average debt by age group breaks down as follows:
- Gen Z: $16,043
- Millennials: $87,448
- Gen X: $140,643
- Baby Boomers: $97,290
Mortgages and student loans account for much of the personal debt, with Gen X and Baby boomers holding the most significant amount of real estate debt and millennials holding the highest levels of student loan debt.
Credit card debt saw the most significant decrease in 2020, with the average credit card debt falling roughly 9%. Retail credit card debt totaled $79.91 billion, down 11.2% from 2019, while overall credit card debt dropped from $829.1 billion to $756.31 billion – a decrease of 8.8%. The overall average consumer credit card balance dropped 14.2% in 2020 to $5,315 – down from $6,194 in 2019.
Click here to view the full Experian report.
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Featured image by Experian
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