Nearly Half of Americans Say Carrying Credit Card Debt Is “Normal” as U.S. Balances Reach $1.26 Trillion
Navicore Solutions outlines warning signs that persistent credit card debt may be limiting household financial
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MANALAPAN, N.J., Sept. 01, 2026 (GLOBE NEWSWIRE) — Credit card debt continues to play a significant role in household finances, as balances rose again in the second quarter and many consumers continue to carry revolving debt from month to month.
According to the Federal Reserve Bank of New York’s latest Quarterly Report on Household Debt and Credit, credit card balances increased by $21 billion during the second quarter of 2026, reaching $1.26 trillion.
Separate research from NerdWallet found that 49% of Americans say carrying revolving credit card debt is normal.
For Navicore Solutions, a national nonprofit financial counseling organization, the findings highlight an important distinction for consumers: credit card debt may be common, but common and manageable are not necessarily the same thing.
“Credit cards are an important financial tool for millions of consumers, and carrying a balance does not necessarily mean someone is experiencing financial difficulty,” said Diane Gray, Chief Operating Officer of Navicore Solutions. “The concern is when carrying debt becomes routine and begins to reduce flexibility in the household budget. At that point, it can be helpful to step back and look at the complete financial picture.”
For some households, credit cards can provide flexibility when the timing of income and expenses does not align or when unexpected costs arise. However, regularly relying on available credit for groceries, utilities, insurance, gas or other recurring necessities may indicate that the household budget is under increasing pressure.
“Using credit as part of a manageable financial plan is very different from increasingly depending on it to make the monthly household budget work,” Gray said. “Consumers do not need to wait until they miss a payment or an account becomes delinquent to ask for help. Seeking guidance earlier provides an opportunity to understand what is driving the debt and determine whether the current approach is still working.”
Navicore encourages consumers to pay attention to signs that credit card debt may be becoming more difficult to manage. These can include consistently making only the minimum required payments, carrying balances across multiple cards, seeing balances increase despite regular payments, routinely using credit for recurring necessities, approaching credit limits, or having debt payments increasingly compete with essential household expenses and savings.
A useful first step is to look at the entire financial picture. Reviewing outstanding balances, interest rates and required payments together, along with monthly income and expenses, can help consumers understand how much of their available income is being directed toward debt and whether their current repayment approach remains manageable.
For consumers having difficulty making meaningful progress, nonprofit credit counseling can provide an objective review of the household’s overall financial situation. A certified counselor can review income, expenses and debts, help identify opportunities within the budget, and discuss available repayment strategies. Depending on an individual’s circumstances, those options may include a structured debt management plan.
“Debt is a reality for many households, and there is no single measure that determines whether someone should be concerned,” Gray added. “What matters is understanding how that debt is affecting the rest of your financial life, whether you are making progress, and what options may be available if your current approach is no longer working.”
Navicore Solutions encourages consumers who are concerned about persistent credit card balances or difficulty balancing debt payments with everyday expenses to seek guidance before the situation becomes more difficult to manage.
About Navicore Solutions
Navicore Solutions is a national nonprofit organization dedicated to strengthening the financial well-being of individuals and families through education, guidance, advocacy, and support. Certified counselors provide financial assessments, credit counseling, housing counseling, and structured repayment guidance to help consumers understand their options and work toward greater financial stability.
For more information, visit NavicoreSolutions.org.
Contact:
Lori Stratford
Digital Marketing Manager
Navicore Solutions
lstratford@navicoresolutions.org
