Consumer Debt Growth Shifts Across Age Cohorts

dv01's latest U.S. Household Macro Monitor: Credit, Wealth & Spending Trends report is now available for download.

This edition continues dv01's analysis of household credit and spending behavior across debt categories, regions, and age cohorts. Our analysis shows where consumer borrowing is slowing, where spending remains strongest, and how household balance sheets are shifting.

Quick Insights

Consumer Credit Posts Largest Adjusted Quarterly Decline Since 2020

• Q1 2026 showed noticeable balance declines across multiple credit types, with only the credit card decline explained by seasonality.
• Total nominal credit rose just $19 billion to $18.8 trillion with mortgage and home-equity growth offset by a $25 billion drop in credit card balances.
• When excluding mortgage credit, consumer debt is now 15% below pre-COVID levels and at its lowest point since 2014.

Debt Growth Shifts Across Age Cohorts

• Nominal debt growth slowed across most age cohorts in Q1 2026, led by a notable pullback among 30–59 households.
• Credit card growth remains concentrated among households 50 and older, which accounted for more than 72% of growth over the past two years despite holding less than half of balances.
• Younger households continue to limit traditional consumer debt, with credit card growth negative among 18-29 borrowers.

Regional Spending Gaps Remain Wide

• Spending remains materially slower in California and Western states, where housing and services costs take up more of consumer wallets.
• Midwest/PA and South + Appalachia remain the highest-growth spending regions, helped by lower housing costs.