Credit card debt reached an all-time high of $1.2 trillion by the end of 2024, according to data from the Federal Reserve Bank of New York .

On Wednesday, the Federal Reserve announced it was lowering its benchmark interest by a quarter percentage point, setting the new range at 4% to 4.25%.

While a lower fed rate is what borrowers hoped for, the new rate may not be enough for them to notice a significant difference in their annual percentage rate, according to Bankrate .

In June, credit card balances rose by $27 billion increasing the outstanding debt to $1.21 trillion. But borrowers could see lower rates soon, as Fed officials signaled two more potential cuts later this year.

Here are some facts on credit card debt you should know:

Among age groups, Americans ages 40 to 49 hol

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