US Debt Has Reached $120 Trillion, According to Federal Reserve Z.1 Report

The total debt securities plus loans outstanding in the U.S. financial system reached approximately $120.4 trillion at the end of the second quarter of 2026, according to the Federal Reserve's new Z.1 Financial Accounts report. This represents an increase of $2.2 trillion from Q1 2026 and $7.3 trillion from one year prior, illustrating a significant expansion of credit since the end of 2019. Federal government debt is the largest component at around $34.9 trillion.