US Consumer Delinquencies Climb as Student Debt Goes Unpaid (1)

The share of US consumer debt in delinquency rose in the third quarter to the highest level in more than five years as unpaid student-loan balances continued to surge.

Around 4.5% of debt was at least 30 days delinquent in the July-to-September period, the most since the first quarter of 2020, the Federal Reserve Bank of New York said Wednesday in its Quarterly Report on Household Debt and Credit. The share of student-loan debt becoming delinquent climbed to 14.4%, the most on record.

The figures suggest US households — especially younger ones — continue to grapple with financial challenges ...