Americans are facing mounting financial pressure as credit card debt reaches alarming levels, according to a comprehensive 2025 survey by Debt.com. The study reveals that 37% of Americans now rely on credit cards to make basic ends meet, highlighting the profound economic strain caused by persistent inflation.
The survey of 1,000 adults exposes a troubling financial landscape where 32% of respondents have maxed out their credit cards, and 44% report carrying larger monthly balances due to rising costs. Notably, the burden is not evenly distributed across generations, with Millennials (42%) and Gen Xers (39%) experiencing the highest rates of credit card saturation.
More than 63% of survey participants are carrying a credit card balance, and over 20% owe more than $10,000—a stark indicator of the mounting debt crisis. The most vulnerable populations are particularly at risk, with 80% of maxed-out cardholders indicating they would rely on credit during a financial emergency.
The economic pressures have prompted bipartisan legislative action, with Senators Alexandria Ocasio-Cortez and Anna Paulina Luna introducing a bill to cap credit card interest rates at 10%. This proposed legislation comes at a critical time when many consumers are unaware of their own annual percentage rates (APR), with 27% of respondents unable to identify their current interest rates.
Howard Dvorkin, CPA and Chairman of Debt.com, emphasized the systemic nature of the problem, noting that while inflation headlines suggest improvement, everyday Americans continue to struggle. The survey reveals a significant gap in financial literacy, with 57% of respondents never having explored debt relief options such as credit counseling or debt consolidation.
The findings coincide with the University of Michigan's Consumer Sentiment Index, which indicates a decline in consumer confidence. Economic uncertainty, persistent inflation, and high borrowing costs have created an environment of financial anxiety for many households.
As policymakers and financial experts continue to grapple with the growing credit card debt crisis, the Debt.com survey serves as a critical reminder of the ongoing economic challenges facing American families. The data underscores the urgent need for comprehensive financial education, consumer protection, and innovative solutions to help individuals navigate increasingly complex economic conditions.
