While 2020 was a year to forget in most respects, Americans excelled in terms of paying off credit card debt, getting rid of a record $82.9 billion in debt. This is a major accomplishment, considering that consumers have added an average of $52.4 billion in credit card debt per year over the past 10 years.
The country’s credit card debt problem is far from solved, however. We still collectively owe nearly $1 trillion to credit card companies, and the average household balance remains too high, at $8,089. Both figures are also likely to rise as the economy reopens from the coronavirus pandemic. As a result, WalletHub’s early projection for credit card debt in 2021 is that U.S. consumers will add roughly $50 billion to their total balance.