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

3 min read

Last Updated: November 19, 2024

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Key Takeaways

The average American had $5,733 in credit card debt in Q1 2023, according to data from TransUnion®.
In the first quarter of 2023, the Federal Reserve Bank of New York estimated total credit card debt for all Americans was $986 billion.
Alaska residents carry the highest credit card debt, while residents of Iowa have the lowest per person.

According to data compiled by TransUnion, the average credit card debt for Americans was an estimated $6,329 through the second quarter of 2024. This was an increase of about 6% from the roughly $5,090 average credit card balance Americans had at the same time in 2023.

But what does that number mean exactly? And if your household debt is near—or even above—the average credit card debt in the United States, what steps can you take to start paying it down?

Total credit card debt held by Americans

According to the Federal Reserve Bank of New York, by the end of the second quarter in 2024, total credit card debt in the United States reached an estimated $1.14 trillion, an increase of $27 billion since 2023.

Average credit card debt by state

Not all regions of the country are the same. According to credit card debt statistics compiled by credit bureau Experian^®, residents of Alaska carried the highest average credit card debt at $7,863 in the third quarter of 2023. Residents of Iowa carried the lowest card balances at $5,227. Here are the 10 best and worst states for average credit card debt in Q3 2023.

States with the highest average credit card debt

Alaska: $7,863
District of Columbia: $7,548
New Jersey: $7,401
Connecticut: $7,381
Maryland: $7,282
Texas: $7,211
Florida: $7,112
Hawaii: $7,107
Virginia: $7,002
Colorado: $6,996

States with the lowest average credit card debt

Arkansas: $5,667
Vermont: $5,638
Maine: $5,614
South Dakota: $5,524
Indiana: $5,502
Mississippi: $5,415
West Virginia: $5,348
Kentucky: $5,304
Wisconsin: $5,242
Iowa: $5,227

What counts as credit card debt?

Your credit card debt won’t include your mortgage debt, auto loans, or student loans. But some kinds of debt are counted as credit card debt even though they’re not attached to a credit card account.

For example, credit card debt may also include consumer finance accounts, which are loans provided to consumers on behalf of a company. Examples of consumer finance accounts include furniture store accounts and payday loans.

Tips for paying down credit card debt

The good news about credit card debt is that it’s possible to manage. By paying down some credit card debt, you could improve your credit score by lowering your credit utilization ratio (the percentage of available credit in use), and you’re more likely to save on interest charges. Here are some credit card basics for managing your own credit card debt.

Set a goal. Is your goal to pay off one or more credit cards, or to get out of debt completely? Figure out what that goal is, and write it down, along with an achievable timeline for being successful.

Did you know?

If you’re looking to pay off multiple credit cards, you could try a balance transfer credit card. With a balance transfer card, you could consolidate debt from multiple cards to a single credit card with a low introductory APR. Your timeline would be to pay off the balance transfer before the intro period ends.

Learn More

Stick to a budget. A budget is critical to helping you get out of debt. Make sure that your budget is realistic and takes into account your needs, as well as those of your partner or family.

Create a payment plan. To help you create a realistic plan for paying off your card or cards, utilize an online payoff calculator to help you visualize how much of a monthly payment you can afford, and when your payoff date will be if you chip away at your balance consistently. If you have multiple debts to repay, focus on repaying the higher interest rate debt first to reduce the total interest you’ll pay.

How to get help with credit card debt

If you struggle with personal finance and serious debt, it can be hard to make the minimum required payments and may lead to poor credit. In that case, you may want to consider credit counseling to learn more about debt relief options.

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