Newrez Survey Finds Credit Card Debt Weighs on Homeowners, but Most Are Confident They Can Keep Up With Mortgage Payments

Survey data highlight high financial stress from credit card debt but strong homeowner commitment to maintaining mortgage payments and using consolidation tools.

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• More than half (51%) of U.S. homeowners carry credit card debt month-to-month.
• 51% of homeowners with credit card debt lose sleep over finances, but nearly 9 in 10 mortgage borrowers with credit card debt remain confident they can keep up with their mortgage payments.
• Most see home equity and personal loans as effective ways to consolidate and pay down debt, and leveraging these financial tools could result in interest and payment savings for homeowners.

FORT WASHINGTON, Pa.--(BUSINESS WIRE)-- Newrez, a leading homeownership company, today announced new survey findings that illustrate the financial strain experienced by homeowners carrying credit card debt—increasing stress, driving day-to-day tradeoffs, and weighing on their overall financial outlook.

However, while roughly half of homeowners (51%) carry a credit card balance month-to-month, they remain committed to homeownership and focused on paying down their debt. With credit card rates and consumer debt levels near record highs, many are exploring debt consolidation options—such as personal loans and home equity products—to pay down their balances more effectively.

View the full report here.

Financial Strain and Homeowner Resilience

Financial pressure is impacting homeowners who carry credit card debt, according to the Newrez survey. Nearly 6 in 10 (59%) say their credit card debt has a negative impact on their financial situation, and 84% say they would feel significant relief if it were paid off. Many also report broader financial strain, with more than half (51%) losing sleep over finances, more than two-thirds (67%) feeling overwhelmed by their finances at least sometimes, and less than half (48%) feeling in control of their finances most or all of the time.

To manage these pressures, many homeowners are making tradeoffs in other areas of their finances. More than 7 in 10 homeowners with credit card debt (71%) have cut back on spending or saving over the past year because of it. This includes 41% who reduced travel, leisure, or discretionary spending, 37% who cut back on everyday expenses such as groceries, and 36% who reduced savings or emergency fund contributions.

Despite the financial pressure of credit card debt, homeowners remain resilient and continue to prioritize homeownership. Three-quarters view their credit card debt as manageable, and 84% say paying it off is a high priority. Among homeowners surveyed with both a mortgage and credit card debt, nearly 9 in 10 (89%) are confident they can keep up with their mortgage payments, and a similar share (90%) prioritize their mortgage payment over most other bills. Underlying that commitment is a belief shared by most homeowners with credit card debt that owning a home provides a sense of stability (89%) and is one of the best ways to build long-term wealth (84%).

“Homeowners are carrying a heavy financial load right now, but their belief in homeownership hasn’t wavered,” said Newrez Chief Commercial Officer Leslie Gillin. “Even with credit card debt weighing on them, they’re focused on protecting their home and taking steps to improve their financial outlook.”

Debt Consolidation Can Often Offer a Faster, Lower-Cost Path Forward

Homeowners are actively exploring ways to consolidate debt. More than half of those surveyed with credit card debt (52%) have looked into options such as personal loans and home equity products in the past year, and most view these tools as effective ways to pay off debt faster. Among homeowners familiar with the products, 71% see personal loans and home equity loans as effective, and 69% say the same of home equity lines of credit (HELOCs).

While personal loans are seen as one of the most effective ways to consolidate debt, 4 in 10 homeowners with credit card debt cite concerns about the associated interest rates. However, with an average credit card rate of 19.57% and an average three-year personal loan rate of 12.41%*, avoiding a personal loan could result in higher interest costs and a longer repayment timeline.

For example, a homeowner carrying the average credit card balance of $6,519** could pay off that debt using a three-year personal loan with monthly payments of roughly $218 while paying just over $1,300 in interest. Making the same monthly payments on a credit card at the average interest rate would take approximately six months longer to pay off and result in nearly $2,500 in total interest costs, almost double the interest paid under the personal loan scenario. Repayment time and total interest costs would increase substantially if only minimum credit card payments were made.

Estimated Repayment Outcomes for the Average Credit Card Balance ($6,519)
Repayment Option	Interest Rate	Monthly Payment	Time to Pay Off	Total Interest Paid
Personal Loan	12.41%	~$218	36 months	~$1,322
Credit Card (fixed payment)	19.57%	~$218	42 months	~$2,494
Credit Card (minimum payments)	19.57%	Starts at ~$174 and declines over time	25+ years	$10,000+

“Approaching credit card debt with a plan can make a real difference—potentially saving homeowners thousands in interest and months of additional payments,” said Gillin. “Home equity products and personal loans can help homeowners reduce high-interest debt, free up cash flow, and stay focused on goals like building emergency or retirement savings. At Newrez, our mission is to do everything possible to make home happen, which means continuing to find new ways to support homeowners as their needs evolve through financial education, transparency, and market-leading products.”

Methodology

This survey was conducted by Morning Consult^® on behalf of Newrez. It was conducted online among 2,203 U.S. adults from June 12–14, 2026. The sample is representative of the U.S. general population and includes segments by homeowner status and credit card debt status, including 486 homeowners who carry a credit card balance from month to month. Results for the total sample have a margin of error of ± 2 percentage points.

For the full findings, please visit: https://www.newrez.com/blog/industry-insights/homeowners-with-credit-card-debt-still-confident-in-homeownership/.

About Newrez

Newrez LLC (“Newrez”), a Rithm Capital Corp. (NYSE:RITM) company, is a top five nonbank mortgage lender and primary mortgage servicer, according to Inside Mortgage Finance^®, dedicated to providing a customer-first experience throughout the homeownership journey. Newrez offers industry-leading servicing capabilities, delivering for homeowner customers from the Newrez portfolio and those of its third-party customers, as well as a robust origination model with presence in the wholesale, correspondent, consumer direct, and joint venture verticals. Newrez's mission is “to do everything possible to make home happen” through a wide array of products and services. Newrez was established in 2008 and is headquartered in Fort Washington, PA. To learn more about Newrez, visit www.newrez.com.

*The average credit card rate was 19.57% and the average three-year personal loan rate was 12.41% as of July 1, 2026, according to Bankrate^®.

**The average credit card debt per borrower was $6,519 in Q1 2026, according to TransUnion^®.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20260914655060/en/

Media Contact
Ryan Feldman
Sr. Director, Public Relations
Ryan.Feldman@Newrez.com

Source: Newrez LLC