A new report on national credit has revealed that while Florida is improving in certain areas, many residents are still carrying debts, which in turn may end up leading to more people seeking out debt relief solutions.
According to CreditKarma.com, which published the findings, in Florida the average amount of consumer debt in terms of mortgages, cars and student loans increased over the past year. In fact, the average resident now has $164,263 in mortgage debt, owes $15,373 on a car loan and $29,264 in student loans. This time last year, the average was at 162,390 for mortgage debt, $15,253 for car loans and $28,342 for student loans.
However, when it comes to credit card debt, the average actually dropped from $6,919 last year to $5,916 this year.
But, when looking at credit scores, Florida's average slightly decreased over the past year from 657 to 654. In general, the higher the score, the better for the consumer.
According to the CEO for CreditKarma.com, when looking at the findings, the reduced credit card debt shows that people are making a concerted effort to lower their debt and pay off their bills. He also mentioned that looking to the future it will be interesting to see if people fall back into their old ways of over-charging as the economy improves.
However, for right now it's also important to note that credit card debt is all relative to an individual, and for many having $5,916 in credit card debt can be quite high and often not manageable. Especially in cases where a person is relying on their credit card, that overall debt can also continue to grow.
Fortunately, there are financial solutions to dealing with credit card debt that allow for a person to basically wipe the slate clean and start over.
Source: Orlando Business Journal, "Florida credit scores down, debt increases," April 11, 2012