CLARKSBURG, West Virginia – A recent report from Self found that West Virginia was doing better on average than the rest of the country when it came to its citizens’ credit card debt.
The summary for West Virginia showed:
- Credit card default rate: 8.66%
- Per Capita Credit Card Debt Balance: $ 2,210
- Average credit score: 695
- Median household income: $ 48,850
- Unemployment rate (2020 average): 8.3%
With the help of COVID-19 relief efforts, many Americans find themselves better able to manage their credit card debt and therefore are better able to avoid delinquency. Total U.S. credit card debt fell from $ 930 billion in 2019 to $ 770 billion at the start of 2021.
Self researchers analyzed data from the New York Fed, Experian, US Census Bureau, and US Bureau of Labor Statistics. Rankings were given via the percentage of credit card debt that was severely past due (90 days or more) in the fourth quarter of 2020.
The delinquency rate across the country has mainly fallen, although a few still maintained a rate above 10%.
The main targets for government financial assistance were student loan and mortgage default rates. Both received massive relief, while other debts leveled off or rose slightly.
The efforts of the credit card companies have also worked wonders. They have reduced or deferred minimum monthly payments, eliminated or refunded late fees, reduced interest rates, and offered payment plans. This temporarily halted an increase in serious defaults in 2020.
The original report is available on Self’s website: https://www.self.inc/blog/states-with-the-most-credit-card-debt