Utah ranks fourth in household debt

SALT LAKE CITY — The total debt balance in the United States has gradually increased since about 2013. According to the Federal Reserve Bank of New York, housing debt reached $12.98 trillion in the third quarter of 2024, an increase of $147 billion over the previous quarter.

Using TransUnion and the Federal Reserve data, WalletHub reported the average household debt in each state, with Utah registering fourth in the nation in debt.

Top five states accumulating the most debt:

1. Hawaii — $274,978
2. California — $252,927
3. Colorado — $240,452
4. Utah — $236,197
5. Washington — $234,000

"A big increase in a state's average household debt can be a sign that residents are struggling financially," WalletHub analyst Chip Lupo said. "However, residents of some states may be able to handle an increased debt load well, which is why it's important to also consider delinquency rates to see whether people have enough income and good enough budgeting skills to keep up with higher loan payments."

Yet, consumers are still spending.

Following the 2024 presidential election, consumer spending continued to increase for the fourth month, with certain demographics spiking higher than others despite the current high cost of living.

The University of Michigan's Consumer Sentiment Index for November came in at 71.8, the highest level since April, up from 70.5 in October.

Republicans jumped by 15.5 points, marking the most significant rise since Trump's 2016 election victory. However, it dropped by 10.1 points among Democrats following the defeat of Vice President Kamala Harris.

"Overall, the stability of national sentiment this month obscures discordant partisan patterns," Surveys of Consumers director Joanne Hsu said in a statement, per Reuters. "In a mirror image of November 2020, the expectations index surged for Republicans and fell for Democrats this month, a reflection of the two groups' incongruous views of how Trump's policies will influence the economy."

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