Consumers pay down less credit card debt in Q1 2022

Consumers paid down $13.2 billion in credit card debt in the first quarter of 2022, 76% less than the same period last year, according to a new report from WalletHub released today.

Following a record-setting reduction in 2020, consumers added a total of $86.2 billion in new credit card debt during 2021, including a $73.1 billion increase in the fourth quarter. The average household’s credit card balance for the quarter is $8,425, $3,157 below WalletHub’s projected breaking point and compared to $8,169 for the same period last year. Outstanding credit card debt decreased by roughly 2% to a little more than $1 trillion during the first quarter of 2022, compared to the previous quarter.