The Hispanic Community in the U.S. Prioritizes Eliminating Debt in 2025

February 26, 2025 at 10:08 AM EST

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Hispanics in the U.S. prioritze debt elimination in 2025

Consolidated Credit has released the results of its annual survey on the financial goals of Hispanics in the United States, revealing that the top priority for most respondents in 2025 is to eliminate their credit card debt.

The survey, conducted among more than 400 Hispanics, reflects a growing financial awareness within the community, with 66.67% of participants stating that their main goal this year is to pay off their debts—a significant increase compared to the 50.8% recorded in 2024. Despite these efforts, job loss, inflation, and other factors continue to pose major obstacles to achieving economic stability.

Less Debt, More Focus on Financial Stability

The percentage of Hispanics who started 2025 with credit card debt slightly decreased, dropping from 87.7% in 2024 to 83.22% in 2025. This reduction suggests that more individuals are interested in becoming debt-free and are adopting strategies to lower their outstanding balances.

Regarding the amounts of debt, the data reveals that:

29.44% have debts between $6,000 and $10,000 (a slight reduction from 33.2% in 2024).
28.44% owe less than $5,000, representing an increase compared to 23% last year.
19.11% have debt between $11,000 and $15,000.
12.59% still face debts of $20,000 or more, a decrease from 17.1% in 2024.
10% have debts between $16,000 and $20,000.

This shift in the distribution of debt indicates a decrease in high debt amounts and an increase in individuals with more manageable balances, potentially leading to greater financial control.

Strategies to Get Out of Debt

The results also highlight the actions Hispanics are taking to meet their financial goals. Forty-one percent are seeking a debt consolidation program, while 30% are exploring ways to eliminate their debt without consolidation—focusing instead on making consistent payments and adhering to a responsible budget. This shows that people are, in a sense, devising strategies and becoming better informed about money management.

Main Challenges

Despite efforts to improve their finances, many Hispanics face significant barriers and fears in circumstances beyond their control. Job loss has emerged as the primary concern, with 42.66% of respondents worried about their employment stability—an increase compared to the previous year.

The second major challenge is inflation; 35% believe that the high cost of living in areas such as food, housing, and education is hindering their financial health. Many have to seek a second source of income to make ends meet, especially when they are the primary breadwinner. Additionally, the fear of falling into the cycle of medical debt remains prevalent, with 18% believing that a serious illness could drastically alter their financial outlook.

About Consolidated Credit

Consolidated Credit is one of the leading credit counseling agencies in the United States. Since 1993, it has helped more than 10 million people find relief from debt and improve their financial well-being. The organization offers personalized solutions to help consumers responsibly overcome debt, providing financial education and counseling specifically tailored to the Hispanic community.