Americans Are Struggling With Debt And Fear It’s Affecting Their Financial Wellbeing | Global News Avenue

A majority (83%) of U.S. households report having some type of debt More than half are worried about the long-term impact this could have on their finances.

A new survey from the Certified Financial Planning (CFP) Council finds that the most common types of debt are credit card debt (60%) and mortgage debt (57%).

Heavy medical and credit card debt burdens

Those facing heavy debt burdens find it difficult to manage it. Nearly 70% of people own a large number of medical debtSixty percent of respondents with significant credit card debt and 47% with heavy student loan burdens reported difficulty keeping up.

There are also downstream financial consequences for those who are deeply in debt. About one-third of people with significant medical debt have put off medical treatment or surgery because of financial problems, and nearly half said they had to work out a repayment plan with their medical provider.

Likewise, half of people with serious credit card debt report that they often only earn Minimum payment on their cards.

People are actively trying to reduce debt, but still worry about the future

Paying down debt is one of the most important resolutions for 2025, with 42% saying reducing debt is their top priority in the new year. Nine in 10 say they are taking steps to better manage their debt through strategies such as reducing spending or increasing their income.

More than 40% said they were reducing discretionary spending Or create a budget. Additionally, more than one-third of respondents are focused on increasing their income—either seeking a raise, starting a side hustle, or pursuing new career opportunities.

Despite these efforts, many people remain concerned about the long-term effects of debt. About half of respondents (52%) are worried about how debt will affect their long-term financial situation, while 48% expressed concern about how debt could disrupt their life plans.