By Michael S. Derby
(Reuters) – Overall debt levels held by Americans rose modestly in the final quarter of last year on a healthy consumer sector, even as borrowing for automobiles faced some signs of stress, the Federal Reserve Bank of New York said on Thursday.
“Consumers are in pretty good shape in terms of the household debt landscape, largely driven by stable balances and solid performance in mortgage loans,” the bank said in a posting detailing the findings on its latest report on the state of household debt, this time for the fourth quarter of 2024.
“However, for auto loans, higher car prices combined with higher interest rates have driven monthly payments upward and have put pressure on consumers across the income and credit score spectrum,” New York Fed economists wrote.
New York Fed researchers said that borrowing levels relative to income are pretty stable…
