What Is the Average Credit Card Debt in the United States?

If you use credit cards to cover everyday purchases, handle unexpected expenses or help pay for larger costs over time, you’re not alone. Many Americans use credit cards every day. But if your own credit card debt continues to grow, you may wonder how your own debt compares to the average credit card debt in America.

Credit card balances have continued to rise over time. By the end of 2025, the total U.S. credit card debt reached $1.28 trillion, according to Federal Reserve data — a $44 billion jump from the previous quarter.¹ For many people, those balances slowly add up over time.

In this article, we’ll look at recent data on credit card debt in the U.S., how balances vary by age group and some repayment strategies you can use to help manage your own credit card debt.

How much credit card debt does the average American have?

Credit cards are considered revolving credit, a type of credit account that allows you to borrow up to an approved amount, repay and borrow again as needed. Because revolving credit allows you to make a minimum payment each billing cycle instead of paying off your full balance, it can be easy for credit card balances to add up quickly. This means any unpaid balance and interest charges will roll over to the next month and be subject to the extra expense of added interest.

Even small balances grow over time when they continue rolling into the next billing cycle with added interest charges. For some people, that can make debt stick around longer than expected. On average, by the end of 2025, Americans carrying credit card debt individually owe about $6,595.²

How many Americans carry credit card debt?

Credit card balances don’t always get paid off right away. Some people may carry a balance temporarily after a big purchase or unexpected expense, while others continue carrying balances while everyday costs and interest charges add up.

A recent survey found:

• 48% of cardholders carry debt from month to month
• 30% expect to pay off their credit card debt within one year
• 41% expect repayment to take between one and five years³

Average credit card debt by age and generation

Credit card balances can shift over time. Age, monthly expenses, family responsibilities and changing financial priorities can all affect how credit card balances change.⁴

Age	Generation	Average credit card balance as of January 2025
18–28	Generation Z	$3,262
29–44	Millennials	$6,961
45–60	Generation X	$9,600
60+	Baby Boomers	$6,795

Average credit card balances often look different across generations:

• Generation X: Gen X carries the highest average balances among all generations. Many people in this age group may still be managing mortgages, supporting children or helping care for aging family members while balancing day-to-day expenses.
• Millennials: Rising housing costs, childcare expenses and student loan payments continue to affect many millennials, making it harder for some households to pay down balances quickly.
• Baby Boomers: Many older adults rely on fixed income sources during retirement. Unexpected medical bills, home repairs or everyday expenses may sometimes end up on credit cards.
• Generation Z: Younger adults often face high rent costs, car payments and entry-level salaries. Some may rely more heavily on credit cards while covering everyday expenses early in their careers and working toward longer-term savings goals.⁵

How does credit card debt affect your credit score?

Credit card debt can negatively impact your credit score as balances grow or monthly payments become harder to keep up with over time.

One of the biggest factors that influence your credit score is how consistently you make on-time payments, which is known as your payment history. Payment history makes up 35% of your score and is a major factor in your credit score calculation.⁶

Your credit utilization ratio can also have a big impact on your score because it calculates how much of your available credit you’re using compared to your total credit limit. As a general rule, the lower your percentage, the better. While there’s no single number that guarantees a “good” credit score, many lenders and scoring models use 30% as a general guideline for credit utilization.⁷

For example, if your credit limit is $5,000, and your credit card balance is $1,000, your credit utilization ratio would be 20% and within a healthy range.

Ways to reduce your credit card debt

You can pay down your credit card debt in different ways. Some people focus on lowering interest costs over time, while others look for ways to simplify monthly payments or reduce balances incrementally.

Common ways people pay down credit card debt

Here are some common repayment strategies that can help you pay down credit card debt.

• Pay more than the minimum payment: Paying more than the minimum balance when possible may help reduce the balance over time.
• Make extra monthly payments: Some people make extra credit card payments throughout the month.
• Pay off balances carrying the highest interest rates first: Often called the debt avalanche method, this strategy focuses on paying down higher-interest balances first while continuing minimum payments on other accounts.
• Pay off the smallest balance first: Known as the debt snowball method, this strategy focuses on paying smaller balances off first while continuing to make all other minimum payments, which some people find motivating as balances gradually get paid off.
• Use autopay and other scheduling tools: If you’re trying to stay on top of due dates, ask if your credit card issuer offers tools like autopay or payment reminders for easier monthly payment tracking. For example, OneMain credit card customers can sign up for both through their account settings.

Debt consolidation loan

A debt consolidation loan combines multiple debts into one loan with a single monthly payment, fixed terms and clear end date in sight. Some people use debt consolidation to make monthly payments easier to track and manage. For debt consolidation to help get you out of debt, you should also stop use of your existing cards whose balances you’ve consolidated.

For example, instead of managing several credit card payments each month, a borrower may combine those balances into one personal loan with fixed monthly payments and a set payoff schedule. The borrower would then pay the loan each month, and at the end of the loan term, that debt would be paid off.

Credit card with a balance transfer offer

A balance transfer moves your existing debt from one credit card to another, often with a low or 0% promotional introductory annual percentage rate (APR). You can save money on interest charges if you are able to repay your balance transfer debt during the lower rate offer period. However, if the transferred balance isn’t paid off when the lower rate period ends, the remaining balance will begin accruing interest, usually at a much higher interest rate. Remember to review the details of your credit card agreement to understand how interest and finance charges are calculated.

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Take control of your credit card debt

While having credit card debt may seem overwhelming, carrying a balance today doesn’t mean you’ll always stay in debt. Taking proactive steps like finding a repayment strategy that works for you will help you make progress toward your financial goals.

Sources

1 https://www.bankrate.com/f/102997/x/546ecc5272/credit-card-debt-survey-press-release.pdf
2 https://www.forbes.com/advisor/credit-cards/average-credit-card-debt/
3 https://www.bankrate.com/press-releases/48-of-credit-cardholders-carry-debt-from-month-to-month-and-more-than-half-have-been-in-credit-card-debt-for-at-least-a-year/
4,5 https://www.bankrate.com/credit-cards/news/credit-card-debt-report/#emergency-expenses-leading-cause-of-debt
6, 7 https://www.experian.com/blogs/ask-experian/what-factor-has-the-biggest-impact-on-credit-score/