Consumers pulled out their credit cards in December fueling a surge in consumer Credit.
Consumer credit data from the Fed, chart by Mish. Change in Consumer Credit
Government debt is the student debt program. Consumer Credit in Billions of Dollars 
Consumer Credit Totals
Real (Inflation-Adjusted) Consumer Credit 
Real Consumer Credit Totals
The winners are those with mortgages who refinanced when mortgage rates fell to 3.0 percent. Inflation ate away much or their debt.The same is not true for those in the student loan or credit card traps at interest rates that have been generally higher than inflation. Revolving Consumer Credit in Billions of Dollars 
On an inflation-adjusted basis revolving credit does not look so bad. But it’s a disaster for those who carry a balance are are paying interest rates in excess of 20 percent.The nominal monthly increase of 22.86 billion in revolving credit was higher than the consensus estimate of $16.00 billion for total credit.This was a stunning number that is sure to put some people in debt trouble or greater debt trouble for those already there.December Had the Second Largest Monthly Trade Deficit in HistoryOn February 6, I noted December Had the Second Largest Monthly Trade Deficit in HistoryFor those wondering what happened, the surge in consumer credit explains some of it.The rest is importers scrambling to beat Trump tariffs.More By This Author:Trump Announces Reciprocal Tariffs Next Week, A Major Trade War Escalation
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