India, Nov. 15 -- US credit card debt has reached a record $1.29 trillion, even as some financially responsible Americans are struggling to get approved for basic credit cards and loans. People earning six-figure salaries, having healthy savings and carrying no debt are increasingly facing instant loan rejections from banks.

The total credit card debt in the US has increased by 67% since early 2021, according to data from the Federal Reserve Bank of New York. At the same time, millions of Americans who avoid borrowing are finding it difficult to establish a credit history that banks can use to judge their financial background.

Data from the Consumer Financial Protection Bureau (CFPB) shows that an estimated 25 million American adults ha...