Credit Card Statistics: Debt, Balances, Fees and More [2024]

83% of American adults have a credit card. 

That means over 200 million people are swiping, typing, and tapping their way through checkout.

Odds are you’re one of them – which means it’s time to learn more about credit cards in America.

How much does the average consumer owe? What are interest rates like? 

And what are people using their cards for, anyway?

Below, I lay out the credit card statistics that matter most. 

Top Credit Card Buy Now, Pay Later Statistics

Average American’s Credit Card Debt

TransUnion reports that the average American credit card user owed $5,805 in credit card debt by the end of last year. 

That number has been rising quickly. One year earlier, the average credit card debt per user was only $5,127.

Why are Americans racking up more credit card debt? 

It could be a combination of two factors:

1. Inflation driving up costs
2. The end of pandemic-era government assistance

Average credit card debt also varies by state. 

These state-by-state statistics do a great job of showing regional disparities:

But see how much you could save by learning how to cancel all subscriptions on your debit card or credit card. 

Average Credit Card Balance

According to Experian, the average credit card balance last year was $5,589. 

This is pretty similar to the number TransUnion gave for average debt per credit card user – which makes sense. 

After all, when you’re talking about credit cards, “debt” and “balance” are pretty much the same thing.

But remember, this ‘average’ is distorted by the outliers: a small percentage of people with huge balances. 

According to The Ascent, 52.1% of Americans have credit card balances under $2,500. 

But what do these credit card statistics mean for you? 

Well, if your credit card balance is over $2,500, it means you owe more than most Americans. 

There could be plenty of good reasons for that – I’m not here to judge! It’s just worth trying to pay down your balance as quickly as you can.

Credit Card Spending Statistics

Americans are spending more with credit cards every year. 

Statista reports that Americans used credit cards to spend more than $4.6 trillion dollars – up from just $3.9 trillion two years before. 

This increase reflects another fact: Americans are using credit cards for a growing percentage of their overall purchases. 

According to a study by the Federal Reserve Bank of San Francisco, 28% of all payments are made with a credit card – up from 19% a few years ago. 

Credit Card Fees Statistics

Americans pay $120 billion in credit card fees and interest each year. 

In other words, using a credit card isn’t always cheap.

Another concern for card users is that interest rates are rising.

By the end of last year, the average APR (annual percentage rate) for credit cards in the U.S. was 19.07%. 

Why the increase? 

Well, credit card APRs tend to fluctuate alongside the general interest rates set by the Federal Reserve – and those rates have been steadily rising. 

Do these credit card statistics mean you should give up cards altogether? 

Of course not! 

Credit cards are super convenient, and they can help you establish credit.

You just need to make sure you spend within your means. 

Credit Card Use By Age Group

An Experian study found that credit card use varies by generation – with “Baby Boomers” most likely to use a credit card. 

The average American has three credit cards. 

Among Boomers, that number rose to 3.4 cards. Members of Generation Z, the youngest adult generation, averaged only 1.7 cards per person.

The amount of credit card debt per person also varied by generation, with members of Generation X having an average balance of $7,236. 

Credit Card Use By Household Income in the U.S.

According to the Federal Reserve, 83% of American adults have a credit card. 

That percentage varies depending on household income:

It’s worth noting that higher-income Americans are more likely to have a credit card, while lower-income households are more likely to carry a balance. 

Most Common Reasons People Use Credit Cards

Online economic publisher, Visual Capitalist, posted a breakdown of how people use credit cards. 

They found people were spending the most on:

• Travel (16.9% of monthly spending)
• General merchandise (16.7% of monthly spending)
• Restaurants (11.6% of monthly spending)
• Groceries (11.5% of monthly spending)
• Clothing/shoes (10.7% of monthly spending)

One thing to keep in mind: These credit card statistics are based on self-reporting from Personal Capital users – who tend to be wealthier than average. 

Does that make the study irrelevant? No. 

It’s still a useful look at people’s spending habits. It just means you shouldn’t assume Americans of all backgrounds and income brackets use credit cards the same way. 

Credit Card Trends

Americans now have more credit cards than ever before. 

TransUnion found that at the end of last year, there were 518.4 million credit cards in the U.S. – up from 456.8 million just a few years prior.

Research from the Federal Reserve Bank of St. Louis shows a similar trend. 

Credit card companies had been issuing an increasing number of new cards for years until the pandemic brought much of the economy to a halt. 

But since the pandemic, card originations have risen again. 

Americans are taking out even more credit cards than they were before the pandemic. 

But what’s behind these credit card statistics? 

Could convenience be a factor?

Credit cards are becoming even easier to use. With “tap-to-pay,” you can now make purchases with many retailers just by tapping your card against a machine. 

If you’re one of those people using credit cards more than ever, enjoy that convenience. 

But also make sure you’re careful.

Credit cards are great – as long as you use them responsibly. 

Credit Card Facts 

• Diners’ Club, Inc. in New York City introduced the first universal credit card in 1950.

• Many early credit cards came from retailers like department stores.

• Americans, on average, have three credit cards each.

• Credit card companies can raise the interest rate for a card you already have – but you’re allowed to reject the new rate. If you say “no,” the company will likely respond by reducing your credit line, increasing the minimum payment, or just shutting the card down altogether.

• About half of American cardholders carry a balance from one month to the next. 

Commonly Asked Questions About Credit Card Statistics

What are the Statistics on Credit Card Use?

83% of American adults have a credit card, and they owe $5,805 on average. There are 518.4 million cards in circulation in the U.S. – with the average American having three cards. Half of all cardholders carry a monthly balance. 

What are 5 Facts About Credit Cards?

1. The first universal credit card came out in 1950.
2. Department stores issued many earlier credit cards.
3. The average American has three credit cards. 
4. 83% of American adults now have a credit card.
5. Credit cards are used for 28% of all purchases.

What Percentage of the U.S. Population Uses Credit Cards?

83% of the adult U.S. population has a credit card. The percentage varies by income. 98% of people who make more than $100,000 a year have a card. Among people who make less than $25,000, that number falls to 57%.

What is the Average Person’s Credit Card Debt?

The average American credit card holder owes $5,805 in credit card debt. This is especially concerning because the average interest rate for credit cards has risen to 19.07%.

If you want to make payments on your purchases without impacting your credit score, check out these no credit check shopping sites.

And if you need help fixing your credit, check out our comparison of Credit Saint vs Lexington Law, or see if working with the best tradeline companies could be the right credit repair solution for you. 

Meanwhile, learn how to budget for non recurring expenses so you can be prepared for unexpected costs going forward. 

Do you get paid twice a month and find yourself struggling to account for that in your budgeting? Learn how to budget biweekly paycheck. And if you need to ramp up your savings fast, learn how to save $3000 in 3 months.

How Do I Choose a Credit Card? 

When choosing a credit card, start by considering a goal. Do you want to earn travel points? Fund an expensive purchase? Maximize convenience? Once you know what you’re looking for, you can compare card companies and make a choice based on your unique needs.

What are the Most Popular Credit Card Companies?

The five biggest credit card companies in the U.S. are:

1. JPMorgan Chase
2. Citibank
3. Bank of America
4. Capital One
5. Discover

*Note: These are all companies that issue credit cards. Familiar names like Visa and Mastercard are credit card networks – which is different. 

Credit Card Statistics By Country? 

Shift Credit Card Processing looked at the average credit card debt per person in 2020 among the world’s ten largest economies. This is what they found: 

1. The United States: $5,331
2. Canada: $4,154
3. UK: $3,245
4. Japan: $2,900
5. Germany: $2,052
6. France: $1,616
7. China: $1,728
8. Italy: $811
9. Brazil: $497
10. India: $302

Average Credit Card Spend Per Month

A study by Visual Capitalist found that the average participant spent $4,874 with their credit card per month. 

But take this number with a grain of salt because the study focused on people with a median net worth of $405,000. 

Credit Card Spending Statistics?

The Federal Reserve Bank of San Francisco found that 28% of all purchases in 2022 were made with a credit card. This is up from 18% in 2018. 

Credit Card Debt Statistics?

The average American credit card user owes $5,805 in credit card debt. The average debt per person varies by state. In 2020, the average cardholder in Alaska owed $6,617, more than in any other state. In Kansas, cardholders owed an average of just $4,681.