Money Management International (MMI), a Stafford, Texas-based nonprofit credit counseling agency, reports that it is now managing more than $1 billion in client debt through September 2026, the highest volume since 2013. The agency's data, drawn from aggregated client records for the first nine months of the year, shows enrollment in its debt management plans surpassed 2,500 new plans in September alone, the most in a single month since March 2011. Total active repayment plans exceeded 60,000, a level not seen since 2017.
The figures underscore a broader trend of Americans leaning harder on credit as living costs rise. According to MMI's principal consumer finance analyst, Ted Rossman, the average price of goods has risen 30% since the pandemic, while wage growth has often lagged. "Millions of Americans are relying on credit to make ends meet," Rossman said. The data does not reflect the entire U.S. population but signals where financial stress is accumulating and who is feeling it most.
Key metrics for advisors
Average unsecured debt among MMI clients reached $40,200 year-to-date through September 2026, a 4.8% increase from $38,300 in the same period of 2025. Counseling volume rose 9.5% year-over-year. Delinquency is also worsening: 25% of clients carried at least one charged-off unsecured debt in 2026, up from 20% in 2020. The average collection balance climbed 38% over that six-year period, to $11,200.
For advisors working with middle-income clients, these figures align with a pattern of younger clients carrying unsecured debt, reshaping practice management conversations. Buy-now-pay-later credit and personal loans have become standard parts of household cash flow. Personal loan exposure among MMI's new clients climbed to 46% in 2026, up from 42% in 2025 and 13 points above the 35% recorded in 2020. The average personal loan balance among those clients rose 11.5% year-over-year to $19,300.
"Many clients have used personal loans for debt consolidation, but paying off debt with more debt is risky," Rossman said. "You can end up with more debt than before if you accumulate new credit card debt before the old debt, now in the form of a personal loan, is paid off." This dynamic is particularly relevant for advisors who may see clients seeking securities-backed credit lines as an alternative to unsecured borrowing.
Gen Z leads client growth
The generational shift in MMI's data carries weight for wealth management professionals trying to build relationships with younger clients. Gen Z now represents the agency's fastest-growing client segment, up 31% year-over-year. Their average unsecured debt of $20,200 is the lowest of any generation in MMI's client base, but it is rising—up 10.5% from 2025. This trend echoes findings from other surveys, such as GLP-1 costs pushing users to alter finances, which highlight how everyday expenses are straining household budgets.
Geographic pockets of stress
State-level data from MMI points to pockets of accelerating stress. Among the ten highest-volume states, client growth through September 2026 was fastest in Pennsylvania, up 24%; Georgia, up 17%; and Texas, up 15%. Average unsecured debt in Virginia reached approximately $45,900, a 15% year-over-year increase, while North Carolina averaged $41,600, up 10%. These regional variations may inform advisors' conversations with clients in those areas, especially as older Americans fear spending retirement savings, a concern that can be exacerbated by high debt loads.
For advisors, the MMI data offers a window into the financial pressures facing middle-income households. The rise in personal loan usage and delinquency rates suggests that clients may be using credit to bridge gaps in cash flow, a trend that could have implications for retirement planning and overall financial wellness. As longevity math shifts, advisors may need to address debt management as part of holistic planning.
