Posted: jjensen | June 13, 2016

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Debt by Numbers

Money stacks graph. One hundred dollars

For a variety of reasons, average household and national debt is on the rise. Growing unemployment rates and staggering income wages can't keep up with the rising living, medical, transportation, and food costs.

It appears that millennials and people over the age of 74 typically have the least amount of credit card debt. ValuePenguin predicts this is because these demographics are least likely to own a credit card.

Average Household Debt

Cost of living family.

Credit card debt is skyrocketing with significant student loan, personal, and auto costs. According to a Survey of Consumer Finances by the U.S. Federal Reserve, as of May 2016, the average U.S. household (everyone included), had $5,700 in credit card debt. The average for balance-carrying households had $16,048 in credit card debt. In 2010, the average balance carrying household had only $15,024. In 2011, things took a slight dip to $14,915. When it comes to how many people have credit card debt, Americans have 52% more debt today than they did a decade ago.

Nationwide Debt

United States national debt and budget deficit financial crisis

Looking at nationwide debt, the numbers grow much larger. ValuePenguin states that as of May 2016, the total outstanding U.S. consumer debt was $3.4 trillion. The total revolving debt was $929 billion.

The Future Of U.S. Debt

girl-piggy-bank

As far as improvement goes, the future isn't looking bright. According to Fixthedebt, the nation's debt load is predicted to increase by almost $8 trillion across the next decade. In fact, compared to other countries, the United States takes the cake for having the most debt.

As one can see, Alaska is an outlier on the list. This could be because of Alaska's higher living costs and geographic location. On average, the Northeast and West Coast have the highest credit card debt. It is not hard to see that credit card debt is definitely on the rise.

Visitors to BestCompany.com

Average Debt of Visitors to BestCompany.com (1)

We conducted an independent survey of visitors to BestCompany.com to determine just how much debt our visitors our dealing with. Not surprisingly, preliminary results from our survey adhered to a Bell curve, with the majority of the 135 individuals polled reporting debt between $25,000 and $50,000.

Looking At The States

On average only 35% of credit card holders pay their full monthly balance, and 38.1% of all households carry some kind of credit card debt.

Below is a list of each state's average credit card debt:

State Avg. Credit Card Debt State Avg. Credit Card Debt
Alabama $5,548 Montana $5,283
Alaska $7,706 Nebraska $5,647
Arizona $5,673 Nevada $5,715
Arkansas $5,317 New Hampshire $5,939
California $5,769 New Jersey $6,013
Colorado $6,323 New Mexico $5,514
Connecticut $6,494 New York $6,390
Delaware $6,056 North Carolina $5,596
District of Columbia $6,580 North Dakota $4,932
Florida $5,754 Ohio $5,583
Georgia $5,800 Oklahoma $5,728
Hawaii $6,139 Oregon $5,769
Idaho $5,555 Pennsylvania $5,646
Illinois $5,935 Rhode Island $5,455
Indiana $5,288 South Carolina $5,653
Iowa $4,833 South Dakota $4,851
Kansas $5,647 Tennessee $5,492
Kentucky $5,070 Texas $5,960
Louisiana $5,408 Utah $5,532
Maine $5,059 Vermont $5,781
Maryland $6,448 Virginia $6,520
Massachusetts $5,672 Washington $6,241
Michigan $5,079 West Virginia $5,123
Minnesota $5,565 Wisconsin $5,142
Mississippi $5,198 Wyoming $5,716
Missouri $5,431
Sources:

http://www.fixthedebt.org/about-the-debt
http://kdvr.com/2016/06/08/colorado-among-top-10-states-where-people-have-most-credit-card-debt/
http://www.valuepenguin.com/average-credit-card-debt#by-region

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Written by jjensen

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