Record Surge in Past-Due Student Loans Adds to US Debt Burden

Aug. 5, 2025, 3:00 PM UTC

The share of US consumer debt in serious delinquency rose in the second quarter to the highest level since early 2020, reflecting a record surge in past-due student-loan debt.

Some 3% of debt was at least 90 days delinquent in the April-to-June period, up from 2.8% in the first three months of the year, the Federal Reserve Bank of New York said Tuesday in its Quarterly Report on Household Debt and Credit. The share of student-loan debt entering serious delinquency was 12.9%, the highest in 21 years of data.

The rise in delinquencies suggests American households are facing increasing ...

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