MYNORTHWEST NEWS

Credit card debt goes up in Washington, across the US

Sep 22, 2023, 7:08 AM | Updated: 8:11 am

Credit card debt state...

Credit card debt is up in Washington and across the nation. (AP Photo/Wilfredo Lee, File)

(AP Photo/Wilfredo Lee, File)

If you have a high credit card debt and you live in the state of Washington, you are not alone.

WalletHub compared the 50 states based on the latest consumer-finance data available from TransUnion and the Federal Reserve, adjusted for inflation and determined the average household in Washington owes $8,463 in credit card debt.

Overall, Washington ranked 13th in the U.S., in total credit card debt with over $29.26 billion overall, including over $1 billion in debt incurred in the second quarter of 2023.

Other Washington news: Bonney Lake left stunned, saddened after thieves steal ‘The Ascent’ statue

“When credit card use increases, it’s usually a symptom of some kind of underlying problem,” Michelle Lambright Black, founder of Creditwriter.com, recently told CBS News. “And recently, consumers have been facing a lot of issues. Inflation has been rampant for several months. Prices on consumer goods are up and that’s like a pay cut.”

Black said that rising interest rates make credit card debt even more difficult to tackle. Credit card interest rates were about 16.2% in May 2022. Over a year later, those rates are hovering around 22.3%.

Source: WalletHub

“Between inflation and rising interest rates, it’s just placing a strain on the finances of many Americans,” Black added. “That’s just causing credit card debt to soar as we are seeing.”

The age group that has the largest debt is those 40 to 49 years old. They have an average debt of more than $7,000. Members of Generation Z owe approximately $2,400 in debt. Black said that Gen Z was not the most responsible necessarily and generally have the lowest credit limits.

California finished No. 1 in the findings with a total of over $152.71 billion in credit card debt. That breaks down to nearly $9,800 per household. Texas is second, owing just shy of $111.3 billion, with $9,216 per household.

Alaska ($10,142) and Hawaii ($10,637) have the most credit card debt per household.

At the bottom of the list, Wyoming was 50th with nearly $2.09 billion, $7,667 per household, still a substantial number. Vermont was 49th with a total of $2.22 billion, $7,162 per household.

Wisconsin ($17.59 billion) and Iowa ($9.38 billion) have more total credit debt than Wyoming and Vermont, but those states rank first and second, respectively, in lowest credit debt per household. Wisconsin sits at $6,208 and Iowa is at $6,231.

Contributing: Steve Coogan

MyNorthwest News

I-5 pedestrian killed...

Bill Kaczaraba

Man killed in hit-and-run on Interstate-5 in Seattle

The Washington State Patrol is in the process of gathering further details about a traffic incident on Interstate-5that left one man dead.

15 hours ago

Tegu Tazz...

KATY WADE, KIRO 7 NEWS

Granite Falls alligator turns out to be escaped pet tegu named ‘Tazz’

Reports of a 10-foot alligator have turned out to be an “incredibly docile and friendly” pet tegu by the name of Tazz.

15 hours ago

Apartment fire in Sotuh Lake Union. (via KIRO 7)...

Bill Kaczaraba

South Lake Union apartment fire contained, 2 may be injured

An apartment fire in South Lake Union has been contained, but two people may have been injured.. The fire was in the 320 block of 7th Ave N but units remain in the area. Authorities are asking you to avoid the area. Firefighters are on scene at a reported fire in an apartment building in […]

16 hours ago

CrowdStrike...

MATT O'BRIEN, THE ASSOCIATED PRESS

How a faulty CrowdStrike update crashed computers around the world

All it took was one faulty CrowdStrike software update to cause global disruptions that grounded flights, and other services.

18 hours ago

Image: A dog was found around 2 a.m. on Wednesday, June 12, 2024 at Colman Dock in Seattle without ...

Steve Coogan

Lost dog found alone on Seattle ferry dock heads to a new home

A lost dog found without its owner on a ferry dock in Seattle last month, later identified as Tripp, has found a new home.

21 hours ago

Image: The Tacoma Police Department released images of a shooting in the parking lot of at the Taco...

Steve Coogan

Gunman nearly hits Tacoma schools security officer during daytime shooting

Police in Tacoma are probing a shooting where a bullet nearly hit hitting a security officer working at the Tacoma Public Schools building.

22 hours ago

Credit card debt goes up in Washington, across the US