Iowa Maintains Lowest Credit Card Debt Per Capita
According to a report from TransUnion, Iowa had the lowest credit card debt per capita during the second quarter of 2013.
The average debt per borrower in Iowa was $3,885. To put this into perspective, states like Alaska reported per capita credit card debt of $6,910.
Since 2000, the second quarter per capita credit card debt has averaged $5,169. The 2013 number was $4,965, giving further evidence that credit cardholders are doing a better job of controlling their spending.
Only two states reported increases in their delinquency rates during the second quarter: Indiana and New Hampshire.
“The low delinquency rates we see are in part due to the continued conservatism among lenders in extending credit to non-prime consumers. The percent of credit card originations going to that population is still much lower than the 45 percent or so that we saw prior to the recession,” said Ezra Becker, vice president of research and consulting for TransUnion.
As banks continue to scrutinize their borrowers more closely, we may see these debt rates go down even further.