Total US household debt rises $114B in 2Q to $12.84T
The Fed says that 2Q total household debt has risen by $114B or 2% in the 2Q to $12.84T
- Up $552B from year ago
- 4.8% of overall debt delinquint. Flat from 1Q
- Credit card delinquincy flows ticked up notably in 2Q
- Mortage debt 8.69T in 2Q, up $329B from a year ago
- Student loan debt 1.34T in Q2, up 85.5B from a year ago
- Auto loan debt 1.19T in 2Q up $55B from year ago\
The pace of increase over the last year is at the fastest pace of the US economic expansion.
- Consumer debt up 4.5% yoy
- Mortgage debt up 3.9% yoy
- credit card balances increased 7.5%
- Credit card debt delinquencies saw a 6.2% increase (vs 5.1% earlier)
The increase in debt comes as job creation is high, stock prices are high and housing is doing ok too. That gives consumers more confidence to make purchases. Loosening lending standards are also a contributor. All is well, if all is good. It is the shocks that will hurt.
