As reported by WalletHub, credit card debt was $1.30 trillion in August 2024, setting a new record. Despite surpassing the previous peak, it’s still $99 billion shy of the all-time high set in 2007.

While credit card interest rates have fallen recently, rates are still relatively high, with the average rate at 20.13 percent as of February 2025. This level of interest means that not paying your ...