Unless you’re on of those who think ever-increasing debt is positive for the economy, some of this data is worth thinking about … Quote: “Total household debt rose, up 1.4% Q/Q, marks the 22nd straight quarterly increase, according to the New York Fed’s Center for Microeconomic Data.
Total household debt is now $1.5T higher, in nominal terms, than the pre-recession peak of $12.68T in Q3 2008.
Mortgage orginations rose 42% in the quarter to reach $752B vs. $528B in Q3 2019, driven by boost in refinancing; marks the highest volume since Q4 2005.
Mortgage balances increased by $120B to $9.56T in the quarter.
Non-housing debt balances rose by $79B in Q4, including a $16B increase in auto loans, $46B in credit card balances and $10B in student loans.
Debt transitioning to serous delinquency increased in the quarter to 2.36% of all debt balances vs. 2.27% in Q3.”