NEW YORK — U.S. household debt climbed to a record $18.8 trillion during the first quarter of 2026, as mortgage, auto loan and home equity borrowing increased, according to new data from the Federal Reserve Bank of New York.
The New York Fed reported mortgage balances rose by $21 billion during the quarter to $13.19 trillion. Home equity lines of credit increased by $12 billion to $446 billion, while auto loan balances grew by $18 billion to $1.69 trillion.
At the same time, non-housing debt declined by $15 billion, driven largely by a seasonal decline in credit card balances.
Credit card balances fell by $25 billion to $1.25 trillion in the first quarter, according to the report. The New York Fed said credit card debt typically declines after the holiday shopping season, when balances tend to peak during the fourth quarter.
Delinquencies Unchanged
Overall delinquency rates were largely unchanged during the quarter, the report said.
“Aggregate household debt levels rose slightly, with modest increases in most debt types offsetting a seasonal decline in credit card balances,” said Daniel Mangrum in a statement released with the report. “Delinquency transition rates were mostly steady, while student loan delinquencies are returning to pre-pandemic levels.”
The report comes as consumers continue to face elevated living costs. The Consumer Price Index for April showed prices were up 3.8% from a year earlier, marking the largest annual increase in three years. Monthly inflation rose 0.6%, driven largely by higher energy prices.
Pain at the Pump
National gasoline prices also continued to climb. The average price for a gallon of regular gasoline reached $4.504, up 25 cents for the second consecutive week and the highest level since 2022.
Despite the quarterly decline in credit card balances, household debt levels remain near record highs as consumers continue to contend with higher borrowing costs and inflationary pressures, according to the New York Fed report.
