Credit & Debt

Make it work for you, not against you

Carrying too much high-interest consumer debt is among the most common mistakes people make. It can put a strain on even the best-laid financial plan. And Americans owe a lot. Here are some 2014 statistics from the Federal Reserve Board:
  • Consumer debt is $3.24 trillion.
  • Revolving consumer debt totals about $881 billion.
  • The average household carries $7,102 in credit card debt.
  • Nearly 80 percent of American families have a credit card, and almost half carry a balance on their credit cards.
But not all debt is bad—sometimes it's a helpful tool. From credit cards to auto loans to home mortgages, debt is an important part of life. The key is to learn to manage it and not let it manage you..

Take control

What you can qualify to borrow is often more than what you should borrow. Here are some guidelines to help you manage credit and debt effectively:

How much do you pay in interest?

Add it up with the cost-of-debt calculator.


Get Organized

Use helpful planning worksheets to make sure your financial life is in order.

Teach Kids

Find out how to teach kids about money and help them with important milestones.

Read More

Investing involves risk, including possible loss of principal.

The information on this website is for educational purposes only. It is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, consult with a qualified tax advisor, CPA, financial planner, or investment manager.

The Charles Schwab Foundation is a 501(c)(3) nonprofit, private foundation that is not part of Charles Schwab & Co., Inc. or its parent company, The Charles Schwab Corporation.

Charles Schwab & Co., Inc. ("Schwab"). All rights reserved. Member SIPC.