Americans continue to grapple with mounting debt, with nearly $2.9 trillion owed in auto loans and credit card balances alone, according to a new WalletHub report. The study highlights the states where consumers are accumulating the most debt, revealing that New York ranks seventh for overall debt increases between the third and fourth quarters of 2024.
The report, based on WalletHub’s proprietary data, examines trends in credit card, auto loan, and personal loan debt across the U.S. In New York, the average credit card balance surged by 3.66% to reach $8,921, reflecting one of the highest increases in the country. Meanwhile, auto loan balances saw a slight decline of 0.24%, averaging $25,734, while personal loan debt rose by 0.82% to $13,770.
Nationally, total household debt increased by $28 billion in 2024, far below the $1 trillion record set in 2008. The average American household owed $149,997 at year’s end—still $12,875 below the all-time peak.
Despite rising balances, WalletHub reports that the debt-to-deposits ratio remains below pre-pandemic levels, and the debt-to-assets ratio is at a stable 9.5%. However, with interest rates still high, financial experts caution against excessive borrowing.
“Americans have added a staggering amount of new debt in the past decade, and it can be very easy for that debt to become unsustainable,” said WalletHub Editor John Kiernan. He noted that Vermont saw the largest percentage increase in debt, with credit card balances rising by 7%, auto loan balances by nearly 5%, and personal loans by 6.4%.
While some states have managed to reduce certain types of debt, New York’s rising credit card and personal loan balances suggest financial strain for many residents. The full WalletHub report can be found online, providing additional insights into nationwide and state-specific debt trends.
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