Skip to main content

Personal Debt Levels Rise Despite Reduction Commitments

Phil Hall
Aug 14, 2018
While most Americans consider debt reduction to be a priority in their lives, average personal debt is on the rise, according to new findings from Northwestern Mutual's 2018 Planning & Progress Study

While most Americans consider debt reduction to be a priority in their lives, average personal debt is on the rise, according to new findings from Northwestern Mutual's 2018 Planning & Progress Study.
 
In a poll of 2,003 adults, 53 percent stated debt reduction was their top financial priority for this year. However, this seems to contradict statistics that show average personal debt exclusive of home mortgages rose from approximately $37,000 in 2017 to more than $38,000 this year. Also, Americans are twice as likely to be carrying between $5,000 to $25,000 in debt (33 percent) rather than personal savings (17 percent), while 23 percent of respondents said they carried no debt this year, down from 27 percent one year ago.
 
Among the different debt sectors, mortgages and credit cards tied at 25 percent, while automobile loans accounted for seven percent of debt and student loans accounted for six percent—although among Millennials between the ages of 18 and 24, that level was 28 percent.
 
"Despite recognizing that debt means dangerous waters, Americans are jumping in with both feet and struggling to stay afloat," said Emily Holbrook, Director of Planning, Northwestern Mutual.
"People's purse strings are clearly caught in a tug of war between enjoying the present and saving for the future. The good news is that living your life and living within your means don't have to be mutually exclusive. A proactive financial strategy will ensure that you're swiping your credit card sensibly because short-term gain is never worth the long-term drain on your financial health."

 
Published
Aug 14, 2018
Anchor Loans Hires Andrew Jewett As SVP, Enterprise Sales

Formerly lead lending at Sundae Inc.

Industry News
Aug 02, 2021
Pretium Adds 3 Execs With Residential Credit Expertise

New Hires Will Serve As Managing Directors

Industry News
Aug 02, 2021
loanDepot And mellohome Introduce Home Services Bundle

loanDepot, Inc. and its sister company mellohome are launching a proprietary bundle of home buying and selling services.

Industry News
Jul 30, 2021
Gateway Mortgage Surpasses 165 Mortgage Centers With 10 New Additions

Gateway Mortgage reported significant growth in the company, prompting it to open 10 new locations across Colorado, Idaho, Oklahoma, Texas, Oregon, and Wyoming.

Industry News
Jul 30, 2021
FHFA Requires 30-Day Notice Prior To Eviction

Wednesday, the Federal Housing Finance Agency (FHFA) announced that tenants of multi-family properties must be given 30 days notice to vacate before the tenant is required to leave the premise.

Industry News
Jul 29, 2021
Houston-Based Stewart Acquires Title First Agency

Ohio-Based Agency Has 20 Offices And Operates in 32 States

Industry News
Jul 28, 2021