Personal Finance / Banking Some offers on this page are from advertisers who pay us, which may affect which products we write about, but not our recommendations. See our Advertiser Disclosure. Household debt edges up to new high, but credit card balances dip Ivana Pino · Senior Writer May 12, 2026 4 min read U.S. household debt increased to an all-time high of $18.8 trillion in the first quarter of 2026, according to the latest data from the Federal Reserve Bank of New York.
The figure spans credit cards, mortgages, student loans, and auto loans. Mortgage balances rose $21 billion in the first quarter of the year to $13.19 trillion, while home equity lines of credit (HELOC) balances grew by $12 billion to $446 billion, and auto loan balances increased by $18 billion to $1.69 trillion. However, not every category moved higher.
Non-housing debt balances declined by $15 billion from the last quarter, pulled down largely by a dip in credit card balances. Credit card balances fell by $25 billion to $1.25 trillion, according to the report. Credit card debt typically rises near the end of the fourth quarter as consumer spending increases during the holiday shopping season and then pulls back at the start of the year.
Overall delinquency rates were little changed in the first quarter. Credit card debt falls to $1.25 trillion Americans owed about $1.25 trillion on their credit cards at the start of the year, a decline from the previous quarter and likely reflecting slower consumer spending after the holiday season. Still, this decline was relatively modest when compared to increases seen across other debt categories.
"Aggregate household debt levels rose slightly, with modest increases in most debt types offsetting a seasonal decline in credit card balances," said Daniel Mangrum, research economist at the New York Fed. "Delinquency transition rates were mostly steady, while student loan delinquencies are returning to pre-pandemic levels." Despite lower credit card balances, Americans are still feeling the pinch of rising costs — particularly at the gas pump. The Consumer Price Index for April showed prices were 3.8% higher than a year ago, the largest annual increase in three years, and up 0.6% on a monthly basis, largely due to soaring energy costs.
The national average cost of a gallon of regular gas is $4.504, up 25 cents for the second consecutive week and the highest level since 2022. Read more: When will gas prices go down? When drivers could finally see relief.
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