Home > 2011 > Managing Debt > Americans Owe Less, but Credit Card Debt Remains High

Americans Owe Less, but Credit Card Debt Remains High

Advertiser Disclosure Comments 2 Comments

CreditCardDebtEven as Americans cut their spending and pay off debts, we still owe staggering amounts of money on our credit cards, according to a report published Monday by Equifax, one of the big three national credit reporting agencies.

Americans have cut their total debt (including car loans, mortgages, credit cards, etc.) by 8.2% since October 2008, when consumer debt reached its peak of $11.5 trillion.

But we still owe $800 billion on our credit cards alone, according to the report. That doesn’t include student loans, mortgages and other debts. The large amount of money owed on credit cards, which often carry the highest interest rates of any consumer debt, makes analysts at Equifax worry that some people may be paying off lower-interest debt like student loans instead of concentrating on reducing the most expensive debt first.

“The good news is we’re seeing Americans paying off their debts and becoming more fiscally fit,” says Dianne Bernez, a spokeswoman for Equifax, said in a press release. “However, the numbers show that while people’s intentions are good, Americans still have a lot of debt to tackle and often don’t know where to start.”

Image: meddygarnet, via Flickr.com

Comments on articles and responses to those comments are not provided or commissioned by a bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by a bank advertiser. It is not a bank advertiser's responsibility to ensure all posts and/or questions are answered.

Please note that our comments are moderated, so it may take a little time before you see them on the page. Thanks for your patience.

  • http://www.creditcardrays.com Nancy

    This is very niche and excellent content love to see more post like this..keep posting. Thanks for information ..bravo…

  • Christopher Maag

    Thanks Nancy! I’m glad you’re liking it. I will keep posting.

Certain credit cards and other financial products mentioned in this and other articles on Credit.com News & Advice may also be offered through Credit.com product pages, and Credit.com will be compensated if our users apply for and ultimately sign up for any of these cards or products. However, this relationship does not result in any preferential editorial treatment.