Food costs push households toward debt and drained savings

New Urban Institute findings show millions of working-age Americans are borrowing or draining savings to buy groceries as food costs rise: more than a quarter of those using credit cards can’t pay the balance in full or miss a minimum payment, about 10% relied on buy now, pay later with roughly a third missing a payment last year, and around 20% tapped long-term savings for groceries in the past 12 months. With grocery prices up about 32% over five years and inflation outpacing wage growth, families face growing hardship. SNAP enrollment has fallen to about 37 million in March, after 2025 policy changes, underscoring the broader squeeze on household finances.