Household debt just hit a new high. Here's what to do about yours now.

As household debt continues to climb, it's important for borrowers to start tackling their high-rate debt issues. Getty Images/iStockphoto

American household debt has officially hit another all-time high, and the numbers behind it paint a troubling picture. According to the Federal Reserve Bank of New York's latest Household Debt and Credit Report , the total household debt nationwide climbed to $18.59 trillion in the third quarter of 2025, rising by $197 billion from the previous quarter. But while mortgages make up the bulk of that staggering total, it's actually the smaller, high-rate debts that are putting the most pressure on household budgets.

Credit card balances , for example, surged to $1.23 trillion in Q3 2025, rising by $24 billion in just three months and ticking u