Credit Card Debt Soars, See Where GA Ranks In The U.S.

Americans carry a staggering $1.32 trillion in credit card debt, with $65 billion added last year, according to WalletHub.

And leading the debt load is California, with the most credit card debt of any state, with $13,847 in debt per household.

Georgia ranked in the top third of debt per state at No. 7. As a state combined, Georgians had a total credit card debt of over $46 billion.

Debt per household was $12,819 in the Peach State, with an increase in household credit card debt of $244. Statewide, Georgia saw a $976 million total increase in credit card debt.

Hawaii had the highest household debt average in the nation with $15,052.

The personal finance website analyzed TransUnion and Federal Reserve data from Q1 2025 to Q2 2025, adjusted for inflation, to identify states with the largest and smallest credit card debt increases.

California ranked as the No. 1 state with the most credit card debt increase this year. Texas was ranked No. 2 with a combined total of nearly $124 billion and Florida was No. 3. with about $97 billion.

The overall rankings for the top 10 states with the largest credit card debt increases were:

1. California
2. Texas
3. Florida
4. New York
5. Illinois
6. Pennsylvania
7. Georgia
8. Ohio
9. New Jersey
10. North Carolina

In the second quarter of 2025, U.S. consumers accumulated an additional $28 billion in credit card debt, pushing the total balance to approximately $1.32 trillion. Initial data for July indicates a 0.4% year-over-year increase, according to WalletHub.

The personal finance website provides advice for managing credit card debt.

1. Make a Budget & Stick To It

To control spending and save, understand your monthly income versus expenses. Prioritize and reduce costs. Once you create a budget, stick to it. Budgeting apps like WalletHub can simplify the process.

2. Build an Emergency Fund

Build an emergency fund of about a year's after-tax income to cover unexpected expenses or job loss, saving a little each month.

3. Improve Your Credit

While it may seem counterintuitive that more credit could lead to less debt, a stronger credit standing significantly reduces the cost of your debt, enabling faster repayment. Additionally, improved credit can facilitate securing employment or housing, both of which positively affect your financial well-being.

4. Reevaluate Your Job Situation

Even with careful budgeting and planning, debt problems can persist. It might be necessary to seek out higher-paying jobs that align with your current experience or invest in acquiring new, marketable skills. This self-investment can be highly beneficial if it yields a worthwhile return.

5. Repay Your Most Expensive Debt First

If you're carrying multiple credit card balances, the "avalanche method" can help you pay off your debt more efficiently. Focus the largest portion of your monthly debt payment on the balance with the highest interest rate, while making only the minimum required payments on your other cards. Once that most expensive debt is eliminated, apply the same strategy to the next highest interest rate until all your debt is paid off.

6. Try the Island Approach

The Island Approach utilizes multiple credit cards, each for a specific purpose. For instance, a 0% balance transfer card can save on debt finance charges, while rewards cards — travel, cash back, or store — can be used for purchases paid off monthly. This strategy optimizes terms and signals overspending when everyday spending cards incur finance charges.