Share of Consumer Credit Held by the Bottom 50% (1st to 50th Wealth Percentiles)
This dataset tracks share of consumer credit held by the bottom 50% (1st to 50th wealth percentiles) over time.
Latest Value
51.80
Year-over-Year Change
-3.54%
Date Range
7/1/1989 - 1/1/2025
Summary
The 'Share of Consumer Credit Held by the Bottom 50% (1st to 50th Wealth Percentiles)' measures the proportion of total consumer credit held by households in the bottom half of the wealth distribution in the United States. This trend provides insights into the credit access and financial health of lower-income consumers.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
This indicator tracks the share of outstanding consumer credit, such as credit card balances and personal loans, held by households in the bottom 50% of the wealth distribution. It offers economists and policymakers a window into the credit usage patterns and financial inclusion of lower-wealth Americans.
Methodology
The data is collected and calculated by the Federal Reserve using survey data on household balance sheets and wealth distribution.
Historical Context
This trend is useful for analyzing consumer financial conditions and informing policies related to credit access and financial inclusion.
Key Facts
- The share of consumer credit held by the bottom 50% of households has declined from over 12% in the 1980s to under 10% in recent years.
- Lower-wealth households tend to have less access to mainstream credit products compared to higher-income groups.
- Monitoring this trend can help policymakers assess financial inclusion and the distribution of credit in the economy.
FAQs
Q: What does this economic trend measure?
A: This trend measures the proportion of total consumer credit, such as credit card balances and personal loans, that is held by households in the bottom 50% of the wealth distribution in the United States.
Q: Why is this trend relevant for users or analysts?
A: This trend provides insights into the credit access and financial health of lower-income consumers, which is important for economists and policymakers to understand in order to promote financial inclusion and stability.
Q: How is this data collected or calculated?
A: The data is collected and calculated by the Federal Reserve using survey data on household balance sheets and wealth distribution.
Q: How is this trend used in economic policy?
A: This trend is used by policymakers and analysts to assess financial inclusion and the distribution of credit in the economy, which can inform policies related to credit access and financial stability.
Q: Are there update delays or limitations?
A: The data is updated periodically by the Federal Reserve, but may be subject to some delays in reporting or limitations in survey coverage.
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Citation
U.S. Federal Reserve, Share of Consumer Credit Held by the Bottom 50% (1st to 50th Wealth Percentiles) (WFRBSB50211), retrieved from FRED.