Average Household Credit Card Debt

What is the average household credit card debt? The average American credit card debt stands at around $8000 – a figure that is actually less frightening than it looks.

Credit Card Debt Statistics

If we were to look at the actual credit card debt statistics, the average American credit card debt doesn’t tell the full story. What the average measures includes the extremes – including those who owe a staggering amount of debt.

A few other credit card debt statistics tell a different story:

  1. 24% of the Americans do not have any credit card at all.
  2. 31% do not owe any amount on their credit card accounts.
  3. That means that a full 55% of the Americans do not have any credit card debt at all.

Furthermore, more and more people are paying off their credit card balances. Just 1 out of every 8 people with credit cards use more than 80% of their credit card limit, while more than half use less than 30% of their credit card limit.

So it looks like the average household credit card debt is not that alarming after all. Nonetheless, there are some disturbing credit card debt statistics.

More statistics on credit card debt

Average American credit card debt: The Flipside

Nonetheless, America seems to be marked by extremes. While there is little to be concerned about the overall situation, the other extreme can be quite disturbing:

  1. The number of bankruptcies set new records almost every year.
  2. According to a VIP Forum analysis, 36% of those who owe more than $10000 on their cards have household incomes under $50000.
  3. Many Americans still use an extremely high percentage of their disposable income to pay off credit card debts.
  4. The median value of total outstanding debt has gradually increased year after year.

America Credit Card Debt and You

So the average American seems to be doing fine, but what about you? Eliminating credit card debt is the first step to financial freedom. More on How to eliminate credit card debt.

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