Tag Archives: US Household Debt Climbs By Most Since 2007

Mish / Mike Shedlock – US Household Debt Climbs By Most Since 2007, Mortgage Debt Leads The Way; Annually Student Debt And Autos Lead The Way – 18 February 2014

MishMikeShedlockGiven stagnant wages and higher taxes, the only way households can increase spending is to go further into debt.

The New York Fed quarterly report on Household Debt and Credit shows that is what happened.

Aggregate consumer debt increased in the fourth quarter by $241 billion, the largest quarter to quarter increase seen since the third quarter of 2007. As of December 31, 2013, total consumer indebtedness was $11. 52 trillion, up by 2.1% from its level in the third quarter of 2013. The four quarters ending on December 31, 2013 were the first since late 2008 to register an increase ($180 billion or 1.6%) in total debt outstanding. Nonetheless, overall consumer debt remains 9.1 % below its 2008Q3 peak of $12.68 trillion. Continue reading