Personal debt is overwhelming an increasing number of Japanese as higher interest rates and the rising cost of living bite.

Consumer loans are rising at the highest rate in 16 years. Household borrowing exceeded incomes for the first time last year. And government officials are worried that many people accustomed to rock-bottom rates will struggle with their mounting loans.

While Japan is by no means alone in confronting a debt problem, salaries are the lowest of Group of Seven countries, and the central bank is raising borrowing costs while its peers cut them.