A smaller percentage of Black and Hispanic households hold debt that builds wealth, such as a mortgage and higher percentages of unsecured debt such as credit cards, according to 2019 Census data.
In 2019, 75% percent of US households had household debt.
But not all household debts are the same. Some household debts, such as medical bills or credit card debt, do not gain value over time. It is a bill that needs to be paid, a cost, and not an asset. But a mortgage or a business loan has the potential to add generational wealth to a household.
