Total U.S. household debt has surpassed $17.5 trillion. While most of this is mortgage debt, consumer debt including credit cards, auto loans, and student loans continues to grow. Here’s how American debt breaks down.
Table of Contents
Total Average Debt by Type
| Debt Type | Avg. Balance (Those With Debt) | % of Americans With This Debt | Total Outstanding |
|---|---|---|---|
| Mortgage | $236,443 | 42% | $12.6 trillion |
| Student loans | $37,338 | 17% | $1.77 trillion |
| Auto loans | $24,040 | 34% | $1.64 trillion |
| Credit cards | $6,501 | 46% | $1.17 trillion |
| Personal loans | $11,281 | 10% | $245 billion |
| HELOC | $42,139 | 5% | $396 billion |
| Total household debt | $17.7 trillion |
Average Debt by Age Group
| Age Group | Total Avg. Debt | Mortgage | Auto | Student Loans | Credit Cards |
|---|---|---|---|---|---|
| 18–29 | $28,950 | $13,200* | $7,800 | $14,800 | $3,150 |
| 30–39 | $135,600 | $95,200 | $12,400 | $33,500 | $5,850 |
| 40–49 | $218,000 | $173,000 | $14,200 | $28,600 | $7,900 |
| 50–59 | $195,000 | $152,000 | $12,800 | $18,000 | $8,400 |
| 60–69 | $120,400 | $92,800 | $10,500 | $9,200 | $7,500 |
| 70+ | $63,200 | $48,500 | $6,800 | $3,100 | $5,800 |
*Average for those with a mortgage; many under 30 don’t have one.
Debt peaks in the 40s when mortgage balances are at their highest, then declines as mortgages are paid down and children finish college.
Credit Card Debt
| Metric | Amount |
|---|---|
| Average balance (all cardholders) | $6,501 |
| Average balance (those carrying a balance) | $9,800 |
| Average credit card interest rate | 20.7% |
| Average number of credit cards | 3.9 |
| % carrying a balance month-to-month | 46% |
| Total U.S. credit card debt | $1.17 trillion |
Credit Card Debt by State
| Highest Credit Card Debt | Average | Lowest Credit Card Debt | Average |
|---|---|---|---|
| Alaska | $8,200 | Wisconsin | $4,800 |
| Connecticut | $7,800 | Iowa | $4,900 |
| New Jersey | $7,700 | Mississippi | $5,000 |
| Virginia | $7,500 | Kentucky | $5,100 |
| Maryland | $7,400 | Indiana | $5,200 |
Student Loan Debt
| Metric | Amount |
|---|---|
| Average student loan balance | $37,338 |
| Median student loan balance | $21,000 |
| Total U.S. student loan debt | $1.77 trillion |
| Number of borrowers | 43.2 million |
| Average monthly payment | $393 |
Student Loan Debt by Degree
| Degree Level | Avg. Debt | % of Borrowers |
|---|---|---|
| Associate’s | $14,000 | 15% |
| Bachelor’s | $29,400 | 48% |
| Master’s | $71,000 | 25% |
| Professional (MD, JD) | $180,000+ | 7% |
| Doctorate | $132,000 | 5% |
Auto Loan Debt
| Metric | Amount |
|---|---|
| Average new car loan | $40,851 |
| Average used car loan | $26,420 |
| Average new car payment | $734/month |
| Average used car payment | $525/month |
| Average new car interest rate | 6.8% |
| Average used car interest rate | 11.4% |
| Average loan term | 68 months (new), 72 months (used) |
Debt-to-Income Ratio by Age
The debt-to-income ratio measures how much of your monthly income goes toward debt payments:
| Age Group | Avg. DTI Ratio | Assessment |
|---|---|---|
| 18–29 | 18% | Low (limited debt) |
| 30–39 | 34% | Moderate (new mortgages) |
| 40–49 | 32% | Moderate |
| 50–59 | 25% | Declining |
| 60–69 | 18% | Lower (mortgages paying off) |
| 70+ | 12% | Low |
Lenders typically prefer a DTI below 36% for mortgage approval, with housing costs alone not exceeding 28%.
Good Debt vs. Bad Debt
Not all debt is created equal. Financial planners distinguish between debt that builds wealth and debt that erodes it:
| Good Debt | Bad Debt |
|---|---|
| Mortgage (builds equity, appreciating asset) | Credit cards (high interest, depreciating purchases) |
| Student loans (increases earning potential) | Payday loans (predatory interest rates) |
| Business loans (income-generating) | Auto loans on luxury vehicles (depreciating rapidly) |
| Real estate investment loans | Consumer financing (buy now, pay later) |
How to Tackle Debt
The Avalanche Method
Pay minimums on all debts, put extra money toward the highest interest rate first. Mathematically optimal — saves the most in interest.
The Snowball Method
Pay minimums on all debts, put extra money toward the smallest balance first. Psychologically motivating — quick wins build momentum.
Which Is Better?
| Method | Saves More Money | Better Motivation | Best For |
|---|---|---|---|
| Avalanche | ✅ | Those with discipline and high-rate debt | |
| Snowball | ✅ | Those who need psychological wins |
Use our snowball calculator to visualize how your debt payoff would work with different strategies.
Related: Average Credit Score by Age | Average Income by State | Net Worth Percentile Calculator | Snowball Calculator
