High interest rates are the biggest obstacle to debt repayment for many U.S. borrowers, according to a 2026 survey commissioned by SoFi. Nearly two-thirds of respondents said financing costs were their main challenge as they worked to reduce credit-card and other unsecured debt.
SoFi surveyed more than 1,500 people about their balances, repayment expectations and views on debt consolidation. The results offer a snapshot of how borrowers are managing debt as household obligations rise. TransUnion recently reported that required monthly debt payments are taking up more household income and weakening consumers’ financial resilience.
“Consuming more household income and reducing financial resilience,” TransUnion reported of Americans’ required monthly debt payments.
Credit cards dominate reported debt
Credit cards were the primary source of debt for 87% of respondents in the SoFi survey. Total balances were also substantial for many participants: 67% said they owed between $10,000 and $50,000 across their debts. The largest individual group, representing 35% of respondents, reported owing between $10,000 and $25,000.
| Survey finding | Share of respondents |
|---|---|
| Credit cards were the main source of debt | 87% |
| Owed $10,000 to $50,000 in total debt | 67% |
| Said high interest rates were the biggest challenge | 64% |
| Expected to repay debt for at least another 12 months | 58% |
Borrowers weigh consolidation
Nearly 64% of those surveyed identified high interest rates as their most serious debt-related problem. Emotional stress was the top concern for another 18%. Overall, 58% expected to continue making debt payments for at least the next 12 months.
Debt consolidation generally combines multiple unsecured obligations, such as credit-card and personal-loan balances, into one loan. The survey identified personal loans and balance-transfer credit cards as common forms of consolidation. Borrowers also said they were concerned about hidden fees and the possibility of extending their debt for a longer period.
When asked how they would use money freed up by lower monthly payments, 59% said they would prioritize paying down debt faster rather than increasing their spending. The survey measures respondents’ reported plans and concerns; it does not establish that consolidation will lower costs or payments for every borrower.
What the survey covered
- Credit-card debt was the main debt category for 87% of respondents.
- High interest rates were the leading repayment challenge, cited by 64%.
- Most respondents expected to remain in repayment for at least another year.
