Posted on 11/28/2024 3:47:50 PM PST by ChicagoConservative27
This map visualizes the average credit card debt held by households in each U.S. state and ranks the states where residents pay off the debt the fastest and slowest.
Data is sourced from Bankrate (2024) who also used average monthly household income to calculate how long it takes to pay off balances.
Households in Alaska and Washington D.C. are carrying more than $7,000 in credit card debt, the highest across the country. However, with average annual household incomes of $109,000 and $149,000, residents in both states can pay off their debt in about 15–20 months.
In fact, glancing through the numbers below reveals a pattern.
(Excerpt) Read more at visualcapitalist.com ...
I’m not as bad as they are. I have my credit card debt down to $3200CDN, which is probably around $2600 US.
I am not using the card until I get it down to $2800CDN.
“My Credit Card debt: $0.00 “
Same here. Also no car payments or mortgage. HATE debt! If we can’t pay cash we wait until we can, or do without.
Amen. Figured that out with my first credit card 54 years ago.
I do the same. Everything is on the card, and then paid in full the 15th. I just cashed in $3,200. from each purchase.
It is very hard to get accurate figures, because these balances include those owed by people who pay in full every month. There is no way to know this in advance.
Pretty meaningless, I am in Connecticut, and my CC balance is $5766. But the billing period ends on Dec 4, and I will pay in full on Dec 5. However, my balance is part of this average, because they have no way of knowing when I’m going to pay.
We have a lot of millionaires (and 6 billionaires) here in Connecticut, and I would imagine some of them run up pretty hefty monthly bills.
Our grand kids will take care of that debt. Fer sure!
it’s meaningless if the card is paid off every month
mine is on autopay
At one time we had a lot of credit card debt. Finally the day came when we had enough. At that time our rates were between 12-14% but still quite high. It has been 5 years since getting out of debt, all of our debt is paid. It is amazing how much money we now have to save and invest. Life is good!
I use mine all of the time. My Wells Fargo cash back, my Am-Ex Platinum, and my Chase Sapphire.
Rotating between the three, use them for every purchase I make.
And I pay them off in full every couple of weeks. I never pay interest and I rack up a bunch of points.
Basically, I am making money off of the losers who only pay the bare minimum each month.
Looking at that data, everyone (on average) is in considerable debt. And, on average, everyone can pay it off quickly. Which is foolish, as I’m sure there’s way more people paying at or near the minimum payment than those who carry no balance.
Me, I pay fully each month.
It costs you about $3.50 per hundred to use a credit card. This is before the twenty percent interest and late fee thing.
The Per Family average cost to use credit cards was $1,102 in 2023.
Swipe Fee
Payment Processing Fee
Interchange Fee
Assessment Fee
Interest and late fees
(minus ‘cash back’ schemes)
That might be relavent if the item cost for using cash was reduced. I don’t think that has happened for a long time.
I have a fairly high balance about 8 days before the due date for payment on the cashback card. Then I zero out the amount due, and start the cycle again. Other cards I use every couple of months for a meal or a small purchase to keep them active. So the day of the month determines how much of a balance I’m carrying.
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Debt is wonderful. It made me a lot of money in the bankruptcy industry. Personally, I’m no debt, no interest, but other people’s debt has been good to me.
Creditor side, of course - limits on how much broke people can pay. Although debtors side folks can make good money off of the wealthy with a cash flow squeeze. Or better yet, good cash flow but with a collateral crunch.
I’ve been a couple of places in the past year where they upcharged for a credit card purchase. And a lot of government offices do as well - around 3%. I have tried to start asking wait staff if the restaurant takes a 3% cut for processing tips on a card. A lot do now. And I try to tip in cash for those. Restaurant chain can eat the 3% for the bill; I don’t want to hurt someone that works hard for their tips.
Impressive. The lingo is definitely over my head!
About half of my suppliers charge 3% to pay with CC. Them I pay with “cash”, usually ACH. But any that don’t I use cards. Get enough cash back to buy my wife’s plane tickets twice a year to Florida to visit family and friends. The cards I use for paying vendors are personal cards so on paper it looks like I spend a ton of money every month personally.
Some of my customers pay me before the card bill arrives. Great for my credit rating and limits. If I spent my CC limits I’d be bankrupt in no time. I am rather surprised with my personal income level that they give me such high credit limits. My total card limits are greater than my annual after tax income. Kind of insane. Especially if they are that liberal with everyone else.
Car insurance, homeowners insurance, power bills, Kroger, Wally World all take cards with no fee. I have to spend the money so I may as well get the card benefits.
Same here. Zero debt.
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