Debt is a continuing drawback for a lot of Individuals.
A brand new examine from WalletHub reveals which states have the most individuals falling behind of their debt funds.
Lacking debt funds—additionally known as delinquency—can severely injury your credit score. Late funds can stay in your credit score report for as much as seven years and should result in late charges, larger rates of interest, account closures, and even authorized motion.
To pinpoint the place Individuals are struggling most with debt, WalletHub analyzed proprietary person information from all 50 states for the primary quarter of 2025. Rankings have been primarily based on two key metrics: the proportion of delinquent tradelines and the portion of whole mortgage balances that have been overdue.
What they’re saying:
“Being delinquent on debt can result in charges, credit score rating injury, elevated rates of interest and different unfavorable repercussions,” WalletHub Analyst Chip Lupo stated in an internet assertion. “That’s why it’s necessary to get present as rapidly as potential. For a lot of sorts of debt, you should have at the very least 30 days after your due date to make your cost earlier than the lender formally reviews it as ‘late’ to the credit score bureaus. Many lenders additionally provide hardship applications that may can help you quickly forgo funds resulting from monetary problem.”
The place Individuals are struggling most with debt
Dig deeper:
Mississippi
Mississippi ranks first within the nation for debt delinquency. Within the first quarter of 2025, about 14.3% of particular person loans and features of credit score within the state have been overdue — the very best price within the U.S. However the issue goes past simply the variety of delinquent accounts. When taking a look at whole greenback quantities, practically 13.1% of all debt owed by Mississippi residents was delinquent, additionally the very best share within the nation.
Louisiana
Louisiana has the second-highest debt delinquency price within the nation, with 13.1% of particular person loans and features of credit score overdue. When it comes to whole greenback quantities, 11.9% of all debt owed by Louisiana residents is delinquent — additionally the second-highest share nationwide.
West Virginia
West Virginia ranks third in general debt delinquency. Within the first quarter of 2025, 12.3% of particular person loans and features of credit score within the state have been overdue. These delinquent accounts make up 10.1% of the full debt owed by residents.
The Supply: The knowledge on this story comes from a WalletHub examine that analyzed proprietary person information from all 50 states for the primary quarter of 2025. This story was reported from Los Angeles.
