As the economy emerges from the pandemic, concerns about a debt hangover like the one that followed the financial crisis are proliferating. But with American household balance sheets the strongest in decades, we see little chance of a consumer debt hangover interrupting the current expansion anytime ... READ MORE >
household debt
How government payments during the pandemic improved household balance sheets
Consumers continued their pandemic-era rebalancing of household finances in the first quarter, shedding credit card debt and home equity lines of credit. These adjustments to household balance sheets appear consistent with increases in government transfers and changes in buying habits during the ... READ MORE >
CHART OF THE DAY: Household debt increases as consumers resume borrowing
Consumers resumed borrowing after a pullback in the second quarter during the onset of the pandemic, according to the New York Federal Reserve’s third-quarter report on household debt and credit balances. The net increase of $87 billion in total household debt outstanding was driven primarily by growth ... READ MORE >