Bankrate Chief Financial Analyst Greg McBride says “more and more households [are] relying on credit to bridge that gap where the income stops but the expenses keep going.”

Collectively, Americans now owe a record $1.21 trillion on their credit cards, according to a new quarterly report on household debt from the Federal Reserve Bank of New York. Credit card balances jumped by $45 billion in the fourth quarter of 2024, driven in part by holiday spending, and are now 7.3% higher than a year ago.

Most Americans (90%) would theoretically date someone with credit card debt. In fact, 2 in 5 of those who said this (40%) say no amount of credit card debt is a dealbreaker in a relationship. However, others say they have limits to how much credit card debt they would abide in a romantic partner.

Higher credit card debt could be a sign of consumer confidence. But tariffs from the Trump administration could further inflate prices.

The latest quarterly figures show that credit card debt hit another record level . getty. Americans Struggle With Record Credit Card Debt U.S. credit card debt reached a record $1

Credit-card debt in the U.S. hit another record after an unusually-high increase following the holidays. Debt from credit cards reached $1.21 trillion i