The average household in Connecticut owes $181,968 in consumer debt, according to a recent study from WalletHub. The average household debt increased by $617 between the second and third quarter of 2025.
Consumer debt is any personal debt that comes from purchases for individual or household use. This includes credit card debts, mortgages, student loans, and payday loans.
This study analyzed the increase in household consumer debt in each state between Quarter 2 (Q2), which ended on June 30, and Quarter 3 (Q3), which ended on September 30. WalletHub used data from the U.S. Census Bureau, TransUnion, and the Federal Reserve to compile this list, and adjusted the numbers for inflation as of Nov. 1.
Nationwide, Connecticut ranked 14 on this list. It is the third-highest out of all of the New England states, following Massachusetts and New Hampshire.
Across Connecticut, the total amount of household consumer debt increased by $876 million, and households owe a cumulative $235 billion in debt.
“A big increase in a state’s average household debt can be a sign that residents are struggling financially,” said WalletHub analyst Chris Lupo. “For example, inflation may be pushing people to borrow more just to afford necessities.”
Hawaii had the largest increase in average household debt in the country, with the average household owing $975 more at the end of Q3 than Q2. The average household debt in Hawaii is $287,742.
Mississippi had the lowest increase in household debt in the country. The average household in Mississippi owes $81,061 in consumer debt, up $275 from Q2.
Across the nation, households owed a combined total $18.59 trillion in consumer debt.
But debt doesn’t tell the whole story.
“Residents of some states may be able to handle an increased debt load well, which is why it’s important to also consider delinquency rates to see whether people have enough income and good enough budgeting skills to keep up with higher loan payments,” Lupo said.
By the end of 2024, New England states had a lower credit card delinquency rate than the rest of the country, according to the Federal Reserve Bank of Boston. The average delinquency rate for credit card debt in New England was 2.38% at the time, while the average for states outside of New England was 2.75%, the same as the national average at the time.
Connecticut had the second-highest debt in New England, following Rhode Island. However, both of those states still had delinquency rates below 2.75%.
During that same period of time, Connecticut’s rate of mortgage delinquency was 2.1%, while the national average was 2%, according to the Consumer Financial Protection Bureau.
Nationwide, the delinquency rate on consumer debt has not changed significantly since the end of 2024. As of the end of Q2, the delinquency rate was 2.76, according to the most recent data Federal Reserve Bank of St. Louis (FRED).
Was this article helpful?
Republish our articles for free, online or in print, under a Creative Commons license.
