NEW YORK – If credit unions had any doubts around the potential need there is for their traditional role, a new report reveals a record number of Americans enrolled in debt management programs during the first half of 2026 as inflation, rising household debt and elevated credit card interest rates continued to strain household finances,
USA Today, citing data from nonprofit credit counseling agency Money Management International (MMI), reported that nearly 15,000 consumers entered debt management plans during the first six months of the year, the highest year-to-date total since the organization began tracking the data in 2017.
The average participant entered the program with approximately $40,000 in debt.
MMI also reported providing financial counseling to more than 40,000 households during the first half of the year. According to USA Today, the number of counseling sessions has increased for five consecutive years and is up 143% since 2021.
Growing Pressures Felt
The findings come as broader economic indicators point to growing financial pressure on U.S. households.
Household debt reached a record $18.8 trillion, according to the Federal Reserve Bank of New York. At the same time, debt collection lawsuits and personal bankruptcies have increased, while the personal savings rate has fallen to 2.7%, its lowest level since the inflation surge of 2022, according to federal data cited by USA Today.
Consumer prices have climbed roughly 27% since the beginning of 2021, based on the Consumer Price Index.
“In a word, I would attribute a lot of this to inflation,” Ted Rossman, principal consumer finance analyst at MMI, told USA Today. “Really this whole post-pandemic surge in prices for just about everything is the biggest thing that’s stressing household budgets.”
Younger Consumers Hit Hard
The report found younger consumers are increasingly struggling with debt.
Generation Z adults, ages 18 to 29, represented the fastest-growing segment of MMI clients, increasing 35% over the past year.
Millennials, ages 30 to 45, accounted for 56% of the nonprofit’s clients and carried an average unsecured debt balance of $43,533. Generation X consumers, ages 46 to 61, represented a smaller share of clients but had the highest average unsecured debt at $53,350.
