A type of consumer debt accumulated by using credit cards. Unlike debt from a mortgage or car loan, credit card debt is unsecured. It is incurred when you buy goods or services with a credit card. If you do not pay off the balance every month, the debt will continue to increase from interest charges and if you buy more goods or service. If the balance goes unpaid or if you are late and incur penalties, the debt can mount dramatically. Late payments can impact your credit score and trigger interest rate increases from other creditors.