Americans’ credit card balances climbed to a new record high $1.13 trillion, according to data released Tuesday by the Federal Reserve Bank of New York.<\/p>\n\n\n\n
Credit card debt increased by $50 billion in the fourth quarter of 2023 alone, a 4.6% jump from the previous quarter.<\/p>\n\n\n\n
The data on credit card debt comes as total household debt rose by $212 billion to reach $17.5 trillion in the fourth quarter of 2023, according to the New York Fed’s latest\u202f”Quarterly Report on Household Debt and Credit.”<\/p>\n\n\n\n
In a potentially concerning sign for consumers and the broader economy, the number of Americans who are late making their credit card payments is also ticking up.<\/p>\n\n\n\n
Delinquencies \u2013 reflecting missed payments on credit card bills \u2013 increased across all age groups. Borrowers between the ages of 30-39 are missing their payments at especially fast rates.<\/p>\n\n\n\n
The researchers said higher credit card debt is “not a flashing red signal” but is indicative of strain on many households’ budgets. Credit card balances first surpassed $1 trillion last August.<\/p>\n\n\n\n
Americans are also taking more debt when they’re buying cars. Auto loan balances rose by $12 billion in the fourth quarter to $1.61 trillion, while delinquencies also rose.<\/p>\n\n\n\n
New York Fed researchers attributed some of the rising auto debt to higher prices for new and used cars in the wake of the pandemic.<\/p>\n\n\n\n