Average Credit Card Debt in America: Statistics for 2023
10 Min Read
Reviewed by Michael Lefler Did you ever think about what’s the average credit card debt in America? According to TransUnion, it is about $7,279 per borrower. How did this happen? Well, a combination of factors has led to an uptick in credit card usage and spending—and a corresponding increase in debt. While some people think we’re more fiscally responsible now than in previous decades, the truth is more complicated. Here is the average credit card debt in America (dollars/percentile):
Source: Federal Reserve Survey of Consumer Finances
- Average Interest Rates on New Credit Card Offers in the U.S. in 2023
- How Many Americans are Currently Delinquent with Their Credit Card Payments?
- What Increases Credit Card Debt?
- Average Credit Card Debt by State
- Average Credit Card Debt by Age
- Average Credit Card Debt by Median Income
- Average Credit Card Debt by Race
- Average Credit Card Debt by Gender
- Average Credit Card Debt by Education
- How Can I Reduce Credit Card Debt?
Average Interest Rates on New Credit Card Offers in the U.S. in 2023
The average interest rate on new credit card offers in the U.S. in December 2022 is 16.13%. It is based on Upgrated Points and Federal Reserve’s G.19 consumer credit survey of 100 major banks and credit unions that were asked to provide their interest rates for new consumer credit cards with a minimum $300 credit limit for credit card accounts.
APR is the annual cost of a loan to a borrower — including fees. Like an interest rate, the APR is expressed as a percentage. Unlike an interest rate, however, it includes other charges or fees such as closing costs, discount points, and loan origination fees.
The table presents every category of credit cards that carry different ranges of APR:
| Category | Minimum APR | Maximum APR | Average |
| Average APR for all new card offers | 20.10% | 27.00% | 23.55% |
| 0% balance transfer cards | 17.85% | 26.83% | 22.34% |
| No-annual-fee cards | 19.53% | 26.78% | 23.16% |
| Rewards cards | 19.89% | 27.07% | 23.48% |
| Cashback cards | 20.00% | 26.83% | 23.42% |
| Travel rewards cards | 20.03% | 27.69% | 23.86% |
| Airline credit cards | 20.24% | 28.40% | 24.32% |
| Hotel credit cards | 20.67% | 28.44% | 24.56% |
| Low-interest credit cards | 13.22% | 22.78% | 18.00% |
| Grocery rewards cards | 19.64% | 27.30% | 23.47% |
| Gas rewards cards | 20.03% | 23.58% | 23.47% |
| Dining rewards cards | 19.79% | 27.44% | 23.61% |
| Student credit cards | 20.30% | 26.30% | 23.30% |
| Secured credit cards | 26.25% | 26.25% | 26.25% |
Source: Federal Reserve’s G.19
How Many Americans are Currently Delinquent with Their Credit Card Payments?
According to the Federal Reserve, 14.5% of credit card holders are at least 90 days delinquent on their payments. That’s nearly one in seven Americans who aren’t paying their bills on time!
But first: What does it mean to be 90 days late on your average credit card debt payments? In this case, “90 days” refers to how long it’s been since your last payment was made. If you haven’t paid anything toward your outstanding credit card balances in three months or longer (and if you don’t pay something within the next two weeks), you’ll be considered 90 days delinquent.
What Increases Credit Card Debt?
Most credit card debt can be a slippery slope to get into. Once you start using the credit card, it’s easy to keep doing it. But what factors cause people to get into credit card debt?
It’s not uncommon for people to run up their credit cards on things like medical bills, car repairs, or other unexpected expenses. Sometimes it’s unavoidable, but sometimes it’s caused by poor financial management practices. These habits can increase your credit card debt:
- Not paying off your credit card balances in full every month;
- Making minimum credit card debt payments only;
- Using credit cards for everyday purchases.
Average Credit Card Debt by State
According to the Federal Reserve Bank of New York, your state’s average credit card debt statistics can tell you a lot about how much debt you carry (as an average household). Here’s a breakdown of the states with the average credit card debt, so you can compare how much credit card debt you have to other states in your area.
| Rank | State | Average Credit Card Debt |
| 1 | Connecticut | $9,408 |
| 2 | New York | $9,165 |
| 3 | New Jersey | $9,044 |
| 4 | Rhode Island | $8,728 |
| 5 | Texas | $8,701 |
| 6 | Florida | $8,573 |
| 7 | Hawaii | $8,556 |
| 8 | Maryland | $8,463 |
| 9 | Massachusetts | $8,405 |
| 10 | Alaska | $8,185 |
| 11 | Colorado | $8,011 |
| 12 | Delaware | $7,993 |
| 13 | Nevada | $7,905 |
| 14 | Georgia | $7,790 |
| 15 | California | $7,758 |
| 16 | Illinois | $7,756 |
| 17 | North Dakota | $7,714 |
| 18 | Virginia | $7,663 |
| 19 | Maine | $7,518 |
| 20 | Utah | $7,489 |
| 21 | New Hampshire | $7,415 |
| 22 | Vermont | $7,368 |
| 23 | Washington | $7,365 |
| 24 | Minnesota | $7,217 |
| 25 | Arizona | $7,213 |
| 26 | Wyoming | $7,098 |
| 27 | South Carolina | $7,063 |
| 28 | North Carolina | $6,955 |
| 28 | North Carolina | $6,955 |
| 29 | Nebraska | $6,900 |
| 30 | Kansas | $6,762 |
| 31 | Michigan | $6,744 |
| 32 | Oregon | $6,682 |
| 33 | Pennsylvania | $6,620 |
| 34 | Missouri | $6,599 |
| 35 | Louisiana | $6,475 |
| 36 | Alabama | $6,453 |
| 37 | Oklahoma | $6,401 |
| 38 | Ohio | $6,394 |
| 39 | South Dakota | $6,367 |
| 40 | New Mexico | $6,367 |
| 41 | Iowa | $6,315 |
| 42 | Tennessee | $6,240 |
| 43 | Montana | $6,160 |
| 44 | Arkansas | $6,117 |
| 45 | Wisconsin | $6,090 |
| 46 | Idaho | $6,073 |
| 47 | Mississippi | $6,035 |
| 48 | West Virginia | $6,008 |
| 49 | Indiana | $5,642 |
| 50 | Kentucky | $5,408 |
Source: Experian
Average Credit Card Debt by Age
The average credit card debt by age is a number that can be useful when you’re trying to get a grasp on your own finances. According to Experian, here is the situation in the US in 2023:
| Generation | Average Credit Card Debt |
| Generation Z (Born 1997-2012) | $2,589 |
| Millennials (Born 1981-1996) | $5,575 |
| Generation X (Born 1965-1980) | $7,923 |
| Generation X (Born 1965-1980) | $7,923 |
| Baby Boomers (Born 1946-1964) | $7,285 |
| Silent Generation (Born 1928-1945) | $5,602 |
Source: Experian (2022 – 2023)
Average Credit Card Debt by Median Income
The household carries $8,000 in average credit card debt in America. But what if your family has a higher income than the average family? Does that mean you have more money to spend on crucial things like “food” and “rent”? Maybe it does… or maybe not!
The Federal Reserve’s Survey of Consumer Finances shows that there’s not much difference between high-income households and low-income households when it comes to credit card debt.
However, when financial experts compare the average income per percentile group with the average amount of debt held per group, they say that low-income earners have a much larger debt-to-income ratio, with their credit card debt alone accounting for 26.11% of their total income. You can see all the figures in the following table:
| Income Percentile | Median Debt | Average Debt | Average Percentage of Income |
| <20% | $1,100 | $3,830 | 26.11% |
| 20%-39% | $1,900 | $4,650 | 11.98% |
| 40%-59% | $2,400 | $4,910 | 7.33% |
| 60%-79% | $3,600 | $6,990 | 6.45% |
| 80%-89% | $5,000 | $9,780 | 5.95% |
| 90%-100% | $6,000 | $12,600 | 4.31% |
Source: The Federal Reserve
Average Credit Card Debt by Race
After analyzing data from the Federal Reserve’s Report on the Economic Well-Being of U.S. Households in 2021, which was published in May 2022, we found that the average credit card debt by race is maximum for Black Americans and minimum for Asian Americans:
| Race/ethnicity | % carrying a balance (among cardholders) |
| White, non-Hispanic | 42% |
| Black | 72% |
| Hispanic | 63% |
| Asian | 24% |
Source: Report on the Economic Well-Being of U.S. Households in 2021 – May 2022
Average Credit Card Debt by Gender
The average credit card debt classified by gender is another factor that society should consider. Why? Because women have slightly lower incomes than men. That’s women have a higher debt-to-income ratio. Although the figures are almost the same, the situation makes women apply for credit cards or loans more often than men.
| Women | Men |
| $6,232 | $6,357 |
Source: Experian (2022 – 2023)
Average Credit Card Debt by Education
If you’re just getting started with your credit card debt, it’s important to know what the average credit card debt is for people with different levels of education. It can be a great way to get a sense of where you stand in comparison to other people who are also trying to get out of debt.
Here are some of the numbers for 2023:
| Education | Median Debt | Average Debt | Average Percentage of Income |
| No High School Diploma | $1,200 | $3,390 | 10.41% |
| High School Graduate | $2,000 | $4,940 | 11.74% |
| Some College | $2,700 | $6,210 | 13.28% |
| College Graduate | $3,600 | $7,940 | 9.91% |
Source: The Federal Reserve Bank – Survey of Consumer Finances
How Can I Reduce Credit Card Debt?
Even if it’s average, credit card debt is a huge problem for many people. It can be hard to know where to begin when it comes to reducing your average credit card debt. If you have more than one credit card balance, or if you have any other type of debt, then you may want to start by putting all of that credit card debt together in one place so that you can see exactly how much money you owe and what kind of interest rates those loans have.
Once you’ve done this, it’s time to create a plan for paying off those loans. You want to set up a realistic timeline that will allow you to pay off all of your credit card debt in three years or less but not longer than five years. If this seems too long, consider making extra payments on top of what’s due each month and/or increasing your monthly payments over time.
You may want to consider consolidating your credit card debt into one loan with a lower interest rate before starting this process. That way, once everything’s paid off, your payments will be lower than before and hopefully more manageable too!
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