According to a May survey, a record number of U.S. consumers are struggling to pay their bills, with 17% reporting unpaid bills due to rising costs. The issue is more pronounced among renters, where 27% were behind, compared to 11% of homeowners. 

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Lower-income households are particularly affected, with 36% of those earning less than $25,000 unable to pay their bills fully. Additionally, credit card delinquencies have risen above pre-pandemic levels, driven by increased risk in recent credit card issuances. Lenders loosened standards in 2021 and 2022, leading to a higher rate of delinquencies, particularly among cards issued during these years. 

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Publicly available data do not actually measure consumer delinquencies in this way; they report the share of dollars delinquent, which is stated as 3 percent. 

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This is likely a big reason Visa stock has underperformed this year. It's also likely to be a major driver for how voters vote in the U.S. November elections.

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