The worst way to get out of debt is to pay the bare minimum. Find out how much that would hurt where you live.
While many Americans use credit cards because they’re convenient, 44 percent of us carry credit card balances, according to the Federal Reserve.
We hope people aren’t paying the bare minimum, either because they have to or simply because they can. One look at how long that would take the average person in each state to pay off is a strong incentive to scrounge up extra bucks for paying down debt. In the worst case, Alaska, it’s more than 20 years and comes with hefty interest penalties along the way.
To figure it all out, we took credit card debt per capita figures from the Federal Reserve, paired them with the Census Bureau’s median income, and plugged those numbers into Debt.com’s credit card debt calculator. Below you can see the 10 states closest to and furthest from paying off their debt — and just how much they can save by speeding things up.
How Deeply in Debt Are People In Your State?
There are a lot of reasons people can't pay off credit cards fast. But if you have the financial flexibility or are willing to make some short-term sacrifices, you can save hundreds of dollars on interest charges.
After you check out the average credit card debt in your state, play with Debt.com's credit card debt calculator and find out how much you can save, then use our credit card debt strategies to make it happen.