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Study shows Georgia has the eighth-highest debt in America, with high levels of credit card debt with an average of $6,265
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Citizens of California ranked with the highest average debt in America, with average mortgage debt at $422,909
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Hawaii ranks second for the most personal debt
A new study has revealed that California is the state where residents have the most personal debt.
Research by banking experts at CreditDonkey analyzed the average mortgage debt, student debt, automobile debt and credit card debt in every state. Each metric was ranked out of 10. The higher the amount of debt the closer to 10. Each state was then given a score out of 40; the higher the number the more debt a state has.
Credit Card debt alone in America stands at over $1 trillion and is only set to rise in 2024. The reason is the increased need to delve into debt as prices of essentials and luxuries have risen considerably. These expenses alone drive up personal debt across the country, before even considering the huge student debt totaling over $1.7 trillion and auto loan debt being over $1.5 trillion.
1. California – Debt Index: 35.28
Californians are in the most debt according to data. California has the highest average mortgage debt with $422,909 per household; this could be attributed to the fact that California has some of the highest house prices in America, meaning that many people may need to take out larger mortgages to live there. Having a car in many places in America is also a necessity; thus, many people may have vehicle debt. In California, this averages around $23,262, one of the higher figures across the states.
2. Hawaii – Debt Index: 34.67
Hawaii is the state with the second most debt. On average Hawaiians have around $6,343 of credit card debt. Credit cards have become increasingly popular across the states, this is to fill in the gaps in purchasing power that occur when prices rise faster than income. As…
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