US Consumer Debt up by $1 Trillion in 2021 According to the Fed, Highest Level Since 2007

Ileana Garcia looks in her wallet for credit cards at the Miami Vineyard Community Church in Kendall, Fla., on March 7, 2009. Joe Raedle/Getty Images

American households took on $1.02 trillion in new debt in 2021, the most in 14 years, at levels not seen since before the 2008–09 financial crisis.

U.S. consumers have ramped up borrowing to acquire homes, cars, and other goods that are becoming more expensive, according to a report released on Feb. 8 by the New York Federal Reserve.