US Credit Card Debt Rises Above $1 Trillion As Student, Auto Loans Hit All Time High

Tyler Durden's picture

Earlier in 2017, using the latest Fed data newspapers and financial media reported that US consumer credit card debt had risen above $1 trillion for the first time since the financial crisis. Ironically, just a few months later the Fed revised its data series sending the revolving credit total back under this "psychological number." At least until today, when the latest consumer credit update from the Fed disclosed that in September, consumer credit rose by $20.8 billion, more than the $17.5 billion expected, of which $14.4 billion was non-revolving, auto and student loans, and $6.4 billion was credit card debt. Total consumer credit rose by 6.6% Y/Y, rising to $3.788 trillion as of Sept. 30. This was the single biggest monthly increase since November 2016.

And while nonrevolving credit reached a fresh record high of $2.782 trillion, revolving - or credit card debt - is now back over a trillion dollars, or $1.006 trillion to be precise, and fast approaching the all time bubble high of $1.02 trillion hit in the summer of 2008.

And speaking of student and auto loans, the Fed's latest data showed that in the third quarter, these rose to a new all time high, of $1.112 trillion for auto loans, and a record $1.486 trillionn in student loans. The Fed also reported that nonrevolving lending to consumers by the Federal government, which is mainly student loans, rose to $1.137t, on a non-seasonally adjusted basis.

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FreeShitter's picture

Yeah baby! Usury is a motherfucker.

hedgeless_horseman's picture


No credit card.

No student loan.

No car loan.


Just do it, bitchezzz!!!

Philo Beddoe's picture

Agreed. But in this fucking world a guy needs a credit card to buy shit like plane tickets with ease. So the caveat should be to have one with zero balance after 30 days. 

hedgeless_horseman's picture


We went with a free Visa debit card for our credit union account.

It is ok to get some help getting there...

Philo Beddoe's picture

I had something like that once and it wasn't as user friendly. However, based on what you wrote I might look into that. Mind you a zeroed out credit card is more or less the same beast in the right hands. 

vokain's picture

Paid for by a token pittance of the total that is derived from the usury of debt slaves and merchants that pass on the CC tx fees to their customers. But I’m no hypocrite entirely, I’m willing to pay for convenience too.

ParkAveFlasher's picture

Guess what?  "Credit" is actually debt and cash is actually credit.

Government doesn't need taxes; it self-funds. 

Currency is simply a license to transact.

Pool Shark's picture

If merchants are dumb enough to pay credit card fees, I'll make sure to have a cash-back credit card.

With my Citi Double-Cash Card, I get 2% back (in cash, gift cards, or statement credit) on EVERYTHING I purchase.

Pay balance IN FULL every month, never pay finance charges or interest, and get 2% back on EVERYTHING I purchase. My insurance company even lets me pay my premiums (auto, fire, etc.) without any service fees! So I'm getting a 2% discount on just about everything (even my water bill!) 

Do I have ANY debt whatsover?


No mortgage either.

I let the Banksters pay ME interest!!!

[If ya can't beat 'em, join 'em!]

The_Passenger's picture

Does anyone know what is included in these $1 trillion of revolving credit? I.e. if the credit card debt is payed off at the end of the month, is it still counted in the statistic? I would in particular be interested in series excluding the 30 day "grace" period. Thanks for any tips! (I couldn't find any answer to my question in the official Fed release.)

Pool Shark's picture

[Sung to the tune of "Tomorrow" from the musical Annie]:

Our budget should be elastic,

never pay with cash

when you have plastic.

Go to med school on credit,

take a student loan

and just forget it.

I'll Borrow, I'll Borrow,

I'll mortgage tomorrow,

and pay back another day...

SJEqualizer's picture

No debt.

No fee credit cards that pay 1.5-2% cash back.  Charge EVERYTHING...utilities, phone, Internet, trash pickup, etc.

Never carry a balance and get paid to use the bank's money.

Fuck debit cards...when the account gets compromised it's your money at risk (checks bouncing, etc.)  When credit card gets compromised it's the bank's money and you're not responsible for it.


JRobby's picture

What are you doing for the Holidays?



Just say no

Offthebeach's picture

Real education is expensive.

No one wants your libtard  degree or used Prius. 

wisehiney's picture

No prob man.

The limit is $2 trillion.

GlassHouse101's picture

My debt is so high with my debt instrument, that my debt is indebted to itself!

Decoherence's picture

Old debts can’t be repaid without ever expanding new debt. New debt can’t be created without the petrodollar. Oil industry is going bankrupt. Looks like we’ve reached peak bullshit as well as peak oil.

FreeShitter's picture

Peak bullshit peaked already. When does the killing blow begin? Let me know.

Decoherence's picture

The Families are discussing the most humane way to take the population down from 7 billion to around 3-4 billion.

CRM114's picture


Might be hard to stop it at 3 billion though with all the urbanisation.

..and you know what happened last time (Black Death); everyone left who could wield a hoe or a hammer got to demand free movement and decent wages. The landowners hated that!

ParkAveFlasher's picture

It will be the White Death, a new tuberculosis.

CRM114's picture

Not a high or rapid enough fatality rate for their purposes, I wouldn't have thought.

JibjeResearch's picture

Ask the US Army Chemical Corps...

They have stockpile of shit for that purposes..

Simplifiedfrisbee's picture

MAGA! Guns in the air for the Urine Messiah!

Philo Beddoe's picture

My mother in law was declined for a credit card. Tbe end may be near. 

Philo Beddoe's picture

Yeah, I just love to shit on the old hag any chance I get. 

E.F. Mutton's picture

If I donate plasma 3 times a week until 2027, I can make my payday loan payment AND buy cat food.


hedgeless_horseman's picture


If your cat donates plasma, too, then you can really get ahead!


No cat?

The cat food is for you?


peippe's picture


we use the cat food for to lure the cats 

for to make feline kebabs.

tastes like chiken. we'r smart out here in the streets!

two hoots's picture

There must be a belief that student loans will be forgiven and therefore they load up.   Or borrow the money and attend a school you know is rotten, enjoy the money and hope for refund.   Sure there are many ways, like grants, to milk, no, outright grab money from a government that has no standards and fails miserably at checking and confirming anything.  Much work to clean this up and punish the swindlers.

SantaClaws's picture

Can you blame anyone for assuming student loans will be forgiven?  Wall Street was bailed out, public union employees are bailed out, and anyone else who knows a guy has been bailed out.  No morality left.

Sy Kloine Bee's picture

I feel bad for the young people.  What will happen when reality sinks in and they realize they will never be able to work or borrow their way out of their hole?  Will they roll over and take it, or will they get violent?

FreeShitter's picture

Thats a good question..could go either way. 

Decoherence's picture

I’m going with the former, not the latter. Most of them will be so demoralized and confused with misinformation they’ll be ready to take a pineapple up the ass.

shizzledizzle's picture

A rough way to get your nutrition.

peippe's picture

they just won't service their debts & make the paper holders cry.

It will be hilarious.

To Hell In A Handbasket's picture

This is the American dream. Debt created by the FED, for the GOY, to gorge on, while the Gentile is pissing themselves laughing, and Trump supports this arse raping by his buddies.

Clock Crasher's picture

I took a cash advance against my credit card to buy TVIX... a long time ago. 

Watched the big short one too many times. 

I woke up's picture

Pulling demand forward

Decoherence's picture

Is there any other alternative at this point? Economics is a zero sum game. Hardcore Capitalists suffer extreme cognitive dissonance over this truth, but it doesn’t change the facts. All ISMs are bullshit, including capitalism, unless you’re the one exploiting others with your issuance of debt or capital, then it makes perfect sense. But when you run out of viable energy, the party is over. Then the piece of American pie turns into a shit sandwich for the bottom 99 to take a bite of.

Offthebeach's picture

If it is zero sum, how'd we get all these people and all this stuff?

Decoherence's picture

Borrowing it from the future, pulling demand forward.  Turning future generations into slaves.  Our gain is their loss.  And oil, cheap energy that isn't cheap anymore.  

TeethVillage88s's picture

Stiff upper lip, chest out! Chin up!

Ben A Drill's picture

Why? Taxed to poverty. Some even homeless. Insurance/mortgage/car payment or food. What do I pay this month?

Not talking about me. Just the average joe six pack. Dont have a clue how to make it if you have kids, how to put a roof over your head, feed the family and make your car payment and pay the rent. It's crazy scary out there in the real world.

FreeShitter's picture

The real world sucks no two ways about, I try to avoid it.