US Consumer Credit Surges by $18.1 Billion in July, Beating Estimates

Key Facts

1US consumer credit rose by $18.1 billion in July, significantly exceeding the estimated $11.7 billion.

2Credit card debt reached a new record high of $1.357 trillion following a $2.8 billion increase.

3Non-revolving credit, including student and auto loans, saw its largest monthly increase in over three years at $15.3 billion.

In a move that reflects resilient consumer spending despite persistent high interest rates, Federal Reserve data showed a significant surge in US consumer credit during July. According to reports, total credit rose by $18.1 billion, far outstripping consensus estimates of $11.7 billion. This growth was primarily fueled by non-revolving loans, which saw their sharpest monthly increase in over three years.

Breaking down the figures, credit card debt (revolving credit) hit a new record high of $1.357 trillion following a $2.8 billion increase in July. Simultaneously, non-revolving credit, which includes auto and student loans, drove the overall spike with a $15.3 billion rise, bringing the total for this category to $5.186 trillion. These figures come as data indicates the average interest rate on credit card accounts has climbed to 22.15%, a level last seen three years ago.

Traders are now monitoring the sustainability of this credit expansion amid inflationary pressures, though updated price levels for related instruments are unavailable as of the September 8, 2026 close. Looking at the economic calendar, recent sessions have featured global growth data and rate decisions from Canada and New Zealand, placing US credit stress within a broader context of shifting international monetary policies.