How Dismal Is the Debt Situation in Florida?

You’re broke, and so is everyone you know.  Everyone is in debt, whether they earn an hourly wage automatically transferred to a debit card because they can’t afford to open a bank account or whether they earn upwards of $100,000 per year, but every month’s salary goes to bills and installment payments on debts by the time the next paycheck comes in.  This is nothing new; call it financial long COVID or just the human condition.  You may get the sense that this pervasive feeling of financial malaise is worse in Florida than it is in other places in the United States, and you would be right.  Florida’s consumer-unfriendly policies, binge-worthy food, and combination of a climate that makes you always want to go out with a lack of any means to get there without driving add up to a perfect storm for debt.  Of course, the main sources of debt change over time, but through it all, you are still tired of being broke.  If you are ready to do something about it, contact a Plantation debt lawyer.

Florida Is Consistently One of the Most Debt-Ridden States

Florida has consistently ranked in the top ten states with the highest consumer debt balances.  Based on data from the fourth quarter of 2023, Florida ranks fourth in average consumer debt per capita.  It also had the third largest average increase in debt between the third and fourth quarters of 2023.  To make matters worse, the average credit score among Florida consumers is 691, one of the lowest in the country.  This means that the loans that are available to Floridians are generally more expensive than the ones available to borrowers in more prosperous states.

Nationwide, Credit Card Debt Is the Fastest Growing Source of Financial Woes

In almost every state, credit card debt is the area where debt balances increased the most.  In Florida, the average consumer’s credit card balance is $7,939, one of the highest average credit card debt balances in the country.  This represents a seven percent increase from the third quarter of 2023, which is also one of the country’s biggest credit card debt increases.  The average personal loan balance in Florida increased 1.6 percent to $12,722.  Many other states have average personal loan balances that are at least as high as Florida’s, representing a nationwide trend in which consumers need personal loans to consolidate their debts or pay their bills.  The average auto loan balance rose 0.2 percent in the last quarter of 2023 in Florida.  This sounds like encouraging news until you consider that 20 states saw average decreases in auto loan debt.  Cars are so expensive that most people cannot take out new loans; they are simply paying down their existing loans, or else refinancing them for longer repayment terms, which means more interest over time.

Work With a Debt Lawyer About Debt Relief in the Sunshine State

A South Florida debt lawyer can help you cope with debt in a state where everything is expensive.  Contact Nowack & Olson, PLLC in Plantation, Florida to discuss your case.

Sources:

nbcmiami.com/news/local/florida-ranks-third-on-list-of-states-where-consumers-are-adding-the-most-debt/3227555/

wallethub.com/edu/states-where-consumers-are-adding-the-most-debt/133119