U.S. household debt rose by $185 billion in the second quarter of 2025, reaching a record $18.39 trillion, according to a report released by the Federal Reserve Bank of New York.
The 1% increase from the previous quarter was driven largely by rising mortgage balances, which grew by $131 billion to $12.94 trillion. Credit card debt also surged, adding $27 billion to reach $1.21 trillion, while auto loan balances climbed $13 billion to $1.66 trillion.
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Student loan balances inched up $7 billion to $1.64 trillion. But more notably, delinquency rates for student debt rose sharply due to the resumption of credit reporting for missed payments that occurred during the so-called "pandemic pause." As a result, 10.2% of student debt was at least 90 days delinquent in the second quarter.
Delinquency rates across other types of debt were mixed, with credit card and auto loans holding steady, while mortgage and home equity loan delinquencies edged up slightly.
“Despite the recent uptick in mortgage delinquency, overall mortgage performance remains strong by historical standards,” said Joelle Scally, an economic policy advisor at the New York Fed.
The report is based on data from the New York Fed’s Consumer Credit Panel.
