Mexican Household Debt Surges as Incomes Fall, Report Finds

Mexico City — The average debt held by Mexican households jumped 6.3% in 2025 to 193,198 pesos ($9,600), while incomes declined, widening the gap between earnings and obligations, according to a new report from credit analysis firm Bravo.

The study, cited by El Economista, found that the average Mexican now owes roughly eight times their monthly income. The average monthly income fell from 25,155 pesos in 2024 to 24,426 pesos in 2025.

Data from INEGI, the national statistics agency, shows that a family of four in an urban area needs about 19,600 pesos per month just to cover basic expenses.

The report highlights that 7 out of 10 Mexicans who apply for new credit do so solely to pay off existing debts. Among young adults aged 21 to 25, the average debt stands at 79,283 pesos. For those aged 31 to 35, it rises to 175,000 pesos, and for people over 66, it reaches 292,000 pesos.

Contrary to the stigma that debt stems from frivolous spending, the study found that 63% of debtors create a budget but most fail to stick to it. Key factors include poor financial management, lack of financial education, inability to build savings, and high interest rates.

The financial pressure is taking a toll on mental health, with high levels of stress, anxiety, and insomnia reported among over-indebted households, according to El Imparcial.