51°F
weather icon Clear

Report sheds light on credit card debt of Nye residents

Residents in Nye County ranked high for keeping their credit card debt low.

Nye County ranked No. 5 in a recent study from SmartAsset, a financial technology company that has an online portal for those seeking information and advice on personal finance, for Nevada counties with the lowest credit card debt per capita.

Nye carried a “Lowest Credit Card Debt Index” of 73.27 on a scale of 100, with higher scores indicating better health, according to the study released earlier this month.

The other top four counties in Nevada tracked by SmartAsset were Douglas County residents, who had an index of 85.09 (No. 1). Douglas was followed by No. 2-ranked Humboldt County, 83.69; No. 3-ranked Elko County, 81.24; and No. 4-ranked Carson City, 74.49.

SmartAsset used multiple calculations to arrive at an index for the counties it tracked across the U.S. The company’s overall goal was to find places in the U.S. with the least credit card debt.

SmartAsset calculated the ratio of credit card debt to a per capita income for each of the counties it studied.

“This number can serve as insight into whether people will be able to pay off that debt,” information on SmartAsset’s website stated.

SmartAsset “also calculated the ratio of credit card debt to net wealth per capita for each county,” according to information on its website. “This measure provides a broader picture of an area’s financial stability.”

“Finally, we indexed each factor and calculated an overall index by taking a weighted average of each of these indexes,” SmartAsset’s website stated. “The credit card to income index was given a weight of one and the credit card to net wealth index was given a weight of two. The places with the highest overall index value ranked the highest.”

On a national level, Nye County ranked 1,829 out of the counties tracked.

Credit card debt per capita in Nye County was $3,367, according to the study. Credit card debt in Nye County as a percentage of income was 14.2% and credit card debt as a percentage of wealth was 11.6%.

The No. 1 ranked county in the U.S. was Wabash County in Illinois.

Wabash had a ranking, index, of 100. The credit card debt per capita was $1,295 in Wabash. Credit card debt in Wabash County as a percentage of income was 5.2% and credit card debt as a percentage of wealth was 4.6%.

The No. 2 highest ranked county for the lowest credit card debt was Los Alamos County in New Mexico.

A large number of the highest-ranking counties were in the Midwest and further east, except for the high ranking in New Mexico and Teton County in Wyoming, which was ranked No. 9 nationally in SmartAsset’s study.

U.S. consumer debt

U.S. household debt, including credit cards, has been on the rise in recent years.

In a second-quarter report from the Federal Reserve Bank of New York, “Total Household Debt Climbs for the 20th Straight Quarter as Mortgage Debt and Originations Rise,” it was stated that household debt in the U.S. reached $13.86 trillion—an increase of $192 billion or 1.4% over the previous quarter.

“It was the 20th consecutive quarter with an increase, and the total is now $1.2 trillion higher, in nominal terms, than the previous peak of $12.68 trillion in the third quarter of 2008,” the report stated.

The data in the Federal Reserve Bank’s report “is based on data from the New York Fed’s Consumer Credit Panel, a national representative sample of individual- and household-level debt and credit records drawn from anonymized Equifax credit data,” the report stated.

Delinquency in credit cards has been on the rise.

“… The share of credit card balances transitioning into 90-plus day delinquency rose to 5.2% from 5.0% last quarter, at an annual rate, continuing an upward trend that began in 2017,” the report stated.

Credit card debt for the U.S. rose to $868 billion in the second quarter from $848 billion in the first quarter of 2019—a rise of $20 billion, according to the Federal Reserve Bank of New York’s second-quarter report.

The second-quarter number was also up from the second quarter of 2018 by $39 billion, according to the report.

Other components of household debt have also been on the rise.

“Mortgage balances—the largest component of household debt—rose by $162 billion in the second quarter to $9.4 trillion, surpassing the high of $9.3 trillion in the third quarter of 2008,” the report stated. “Mortgage originations, which include mortgage refinances, also increased by $130 billion to $474 billion, the highest volume seen since the third quarter of 2017.”

“While nominal mortgage balances are now slightly above the previous peak seen in the third quarter of 2008, mortgage delinquencies and the average credit profile of mortgage borrowers have continued to improve,” said Wilbert van der Klaauw, senior vice president at the New York Fed in a mid-August report. “The data suggest a more nuanced picture for other forms of household debt, with credit card delinquency rates continuing to rise.”

Contact reporter Jeffrey Meehan at jmeehan@pvtimes.com on Twitter @MeehanLv

Don't miss the big stories. Like us on Facebook.
THE LATEST
Nevada Highway Patrol receives $100k public safety grant

By putting in additional efforts to combat drunk and distracted drivers along Silver State roadways, the Nevada Department of Public Safety, Highway Patrol Division has received a grant in the amount of $100,000 from the Nevada Department of Public Safety, Office of Traffic Safety for targeted DUI enforcement campaigns during the coming year.

Fire restrictions lifted at Humboldt-Toiyabe

The ban and other restrictions, which previously applied only to federal lands such as the Humbldt-Toiyabe National Forest, have been expanded to all public lands in Nevada.

FDA pushes for reduction in salt in packaged foods, restaurants

The U.S. Food and Drug Administration released guidance on Wednesday in an effort to reduce the amount of salt in food products at restaurants, school cafeterias and packaged and prepared foods. Food makers, however, are not obligated to take action in the voluntary guidance.

Social Security benefits to rise 5.9% in 2022

The Social Security Administration announced a cost-of-living raise of 5.9% starting in 2022, the largest annual increase in 40 years. The rise, however, comes in the face of other increases in food, shelter and other goods.

Solar project discussion riles Pahrump citizens

The Pahrump Public Lands Advisory Committee had what may very well have been the biggest turnout the advisory body has ever seen before during its Tuesday, Oct. 12 meeting.

Pumpkin Days returns to Pahrump next weekend

Fall is in the air and for the town of Pahrump, that means it’s almost time for Pumpkin Days.

Adam Laxalt stumps in Pahrump

U.S. Senate candidate Adam Laxalt made a stop in the valley last week, spending some time at local eatery Mom’s Diner to speak with area residents as he ramps up his campaign for the 2022 election.

Pahrump local’s Kids Costume Car Wash a success

Pahrump resident Shauna “Shay” Dragna and her three youngsters, Cayleigh, Caden and Conner, have spent the last month focusing on their very first public philanthropy project and though they entered into the endeavor without any previous experience and absolutely no idea how it might turn out, the results of their efforts are bearing some very positive fruit.

 
Cegavske won’t allow tax petitions off 2022 ballot

Nevada Secretary of State Barbara Cegavske has told Attorney General Aaron Ford in a letter the state constitution doesn’t allow for petitions to be withdrawn.