Household debt refers to the amount of money that a household owes to various creditors, such as banks or financial institutions. This includes mortgages, car loans, student loans, credit card balances and any other type of borrowing. The total amount of debt that a household has can be used as an indicator of their overall financial health and ability to manage their finances. High levels of debt can put strain on households' budgets and limit their ability to save or invest for the future. On the other hand, managing debt responsibly can help build creditworthiness and improve a household's financial situation over time.