How much of U.S. debt is owned by citizens?

U.S. citizens own a significant portion of the national debt, with U.S. private investors (individuals, banks, funds) holding around 15-42% (depending on the source/date), plus substantial amounts held by the Federal Reserve (13%) and U.S. government agencies (20%), making most debt domestic; however, foreigners hold about a quarter of the debt, with Japan and China as major buyers.

Who owns the majority of U.S. debt?

The majority of U.S. debt is owned by domestic investors and institutions, including the Federal Reserve, Social Security and other government trust funds, mutual funds, banks, and individuals; foreign investors (like Japan and China) and foreign central banks hold a significant portion, but less than half. Intragovernmental holdings (government accounts) and debt held by the public (domestic and foreign) make up the total, with domestic private investors being the largest single group within the public holdings.
 

How much of the U.S. debt is owed to citizens?

Who Owns All that Debt? On October 21, 2025, the nation's gross debt eclipsed $38 trillion. Of that amount, approximately 80 percent, was debt held by the public — representing cash borrowed from domestic and foreign investors.

What percentage of US government debt is owned by foreigners?

Foreign countries and investors hold roughly 24% to 32% of U.S. federal debt, a significant amount (around $9 trillion as of mid-2025), but Americans and U.S. entities (like the Federal Reserve) own the majority, with foreign ownership shares fluctuating but trending lower from past peaks, with Japan and China as major holders. 

What is the U.S. debt per citizen?

The U.S. national debt per person is over $100,000, with recent figures placing it around $104,000 to $112,000 per person, depending on the exact date and calculation, translating to roughly $260,000-$285,000 per household, as the debt grows by billions daily due to spending exceeding revenue, impacting future generations and requiring borrowing, notes USAFacts. 

Who does the US Owe its $35 Trillion debt? (National Debt Explained)

What percent of Americans are 100% debt free?

Around 23% of Americans are debt free, according to the most recent data available from the Federal Reserve. That figure factors in every type of debt, from credit card balances and student loans to mortgages, car loans and more. The exact definition of debt free can vary, though, depending on whom you ask.

What country has the highest debt per citizen?

*Countries with the highest national per capita debt* (2025 estimates) 1. Japan $95,000: Debt > 250% of GDP, mostly domestic; aging population drives spending 2. United States $80,000: Debt > 130% of GDP 3. Italy $70,000: Debt 150% of GDP 4.

What's the biggest contributor to U.S. debt?

Private investors are the biggest holders of U.S. debt.

Social Security's two trust funds (one for retirement benefits, one for disability insurance) together held nearly $2.7 trillion in special Treasury securities as of July 2025. Various military retirement funds held more than $2.2 trillion.

Which country owes the US the most money?

As of April 2025, the list of foreign countries holding U.S. debt is dominated by just three: Japan, the United Kingdom and China. China was formerly the No. 2 holder of U.S. debt, but as the country has been decreasing its holdings over the past few years, the U.K. has taken over that position.

Are 80% of Americans in debt?

This debt, often referred to as “household debt,” represents the total amount owed by individuals for obligations such as mortgages, student loans, credit cards, and auto loans. These figures represent the average debt owed by US residents with a credit score, which includes roughly 80% of adults.

Who does the US owe 36 trillion to?

The U.S. owes its $36 trillion national debt to a mix of domestic investors (like banks, mutual funds, and individuals), U.S. government accounts (like Social Security), the Federal Reserve, and foreign investors, with Japan, the UK, and China being the largest foreign holders, primarily through purchasing U.S. Treasury bonds. The largest portion is held domestically, but foreign entities hold trillions, making countries like Japan and China significant lenders.
 

How many Americans have $20,000 in credit card debt?

A majority of Americans (53%) carry some, with an average balance of $7,719. However, a third of those carrying debt (32%) owe $10,000 or more, while almost 1 in 10 (9%) have credit card debt over $20,000.

Is being debt free the new rich?

Yes, for many people, being debt-free feels like the new rich because it provides immense financial freedom, peace of mind, and security, even if it doesn't mean having millions in the bank; it shifts the definition of wealth from pure income to a lack of financial burdens, allowing for more saving, investing, and enjoying life without stress. While traditional wealth is assets minus liabilities, eliminating debt frees up income for wealth-building, making it a significant step towards financial well-being and independence, especially as many struggle with rising costs and stagnant wages. 

Who was the last president to balance the US budget?

The last president to oversee a balanced federal budget was Bill Clinton, whose administration achieved budget surpluses for four consecutive years, from fiscal years 1998 to 2001, marking the first sustained period of budget balance in decades. This rare feat was due to a combination of economic growth, spending cuts, and tax increases, and it ended with the start of the new millennium, after which deficits returned. 

What would happen if the US paid off all its debt?

If the U.S. paid off all its debt, it would trigger an economic crisis by eliminating safe investment options (Treasury bonds), causing a massive cash glut, crashing interest rates, disrupting monetary policy (Federal Reserve operations), forcing cuts in government services/spending, and potentially leading to a depression as the economy would lose its primary safe asset, disrupting the entire global financial system that relies on U.S. debt. The process itself, whether through extreme taxes or printing money, would likely cause hyperinflation or deep recession, while the end result removes a critical benchmark for the global economy.
 

How much does China owe the USA?

China holds a significant amount of U.S. debt, primarily in Treasury bonds, with recent figures (late 2024/early 2025) showing China owning around $750-$800 billion in U.S. securities, making it the second-largest foreign holder after Japan, though this is a smaller percentage of the total U.S. debt. This amount fluctuates as China has been reducing its holdings, but it represents loans from China to the U.S. government, not a debt the U.S. owes to China in a punitive way, but rather investments in U.S. assets. 

Has America ever paid off its debt?

Yes, the U.S. paid off its entire national debt for the only time in history on January 1, 1835, under President Andrew Jackson, primarily from land sales and budget surpluses, but it was short-lived, with debt reappearing quickly and growing again due to economic events like the Panic of 1837, leading to continuous borrowing since. 

Who owns over 70% of the U.S. debt?

Who owns the most U.S. debt? Around 70-80 percent of U.S. debt is held by domestic financial actors and institutions in the United States. U.S. Treasuries represent a convenient, liquid, low-risk store of value.

What two debts cannot be erased?

Special debts like child support, alimony and student loans, will not be eliminated when filing for bankruptcy. Not all debts are treated the same. The law takes some debts very seriously and these cannot be wiped out by filing for bankruptcy.

Is the national debt actually a problem?

Yes, the U.S. national debt is widely considered a significant problem by many economists and fiscal experts, as it's at historically high levels relative to GDP, potentially slowing economic growth, increasing interest costs (especially with recent rate hikes), crowding out private investment, limiting government flexibility for future crises, and possibly undermining confidence in the dollar, despite arguments that the U.S. can manage debt in its own currency. 

What is the #1 cause of debt in the US?

The leading cause of debt in America, by far, is mortgage debt, making up about 70% of total household debt, as housing is the largest purchase for most Americans. Following mortgages, major drivers of personal debt include auto loans, student loans, credit cards, often used for unexpected expenses like medical bills, and rising costs for necessities like childcare. 

Which person has the highest debt in the world?

The person widely considered to have the most debt, due to a massive fraud case, is Jérôme Kerviel, a former French trader who owes billions (around $4.9 to $6.3 billion) to his former employer, Société Générale, stemming from unauthorized trades in the late 2000s, though this is a debt from a fraudulent act, not typical personal or business finance.
 

Are any countries not in debt?

No major independent country is entirely debt-free, as national debt is normal for funding growth, but some nations, like Liechtenstein, Brunei, Macao, and Kuwait, maintain extremely low debt-to-GDP ratios or have significant surpluses, often due to resource wealth or strong financial sectors, with Liechtenstein and Macao frequently cited as nearly debt-free. 

What is the poorest country in the world?

As of late 2025/early 2026, South Sudan is widely considered the poorest country in the world, consistently ranking last or near-last by GDP per capita due to civil conflict, political instability, and resource issues, though Afghanistan also appears at the very bottom in some rankings. Other nations like Burundi, Central African Republic, and Yemen also face extreme poverty.