Household debt rose to $US11.71 trillion in the third quarter.
According to the New York Federal Reserve’s latest Household Debt and Credit report, household debt in the third quarter rose 0.7%, or $US78 billion, to $US11.71 trillion, up from $US11.62 trillion in the second quarter.
Overall, household debt is below its $US12.68 trillion peak reached in the third quarter of 2008.
“Outstanding household debt, led by increases in auto loans, student loans and credit card balances, has steadily trended upward in recent quarters,” said Wilbert van der Klaauw, senior vice president and economist at the New York Fed. “In light of these data, it appears that the deleveraging period has come to an end and households are borrowing more.”
Some of the report’s highlights include:
- Mortgage debt rose by $US35 billion, or 0.4%, to $US8.13 trillion in the third quarter.
- Student loan debt rose by $US8 billion in the third quarter to $US1.13 trillion. About 11.1% of aggregate student loan debt is more than 90 days delinquent or in default.
- Auto loan balances rose by $US29 billion while the delinquency rate on auto debt fell to 3.1% from 3.3% last quarter.
- Home equity lines of credit declined by $US9 billion, or 1.7%, in the third quarter to $US512 billion.
- Non-housing debt balances increased by 1.7% in the third quarter.
- Overall delinquency rates were roughly flat in the third quarter, with 6.3% of all outstanding debt in some stage of delinquency compared to 6.2% in the second quarter.
Here’s what all that debt looks like.
Business Insider Emails & Alerts
Site highlights each day to your inbox.