Coverage of the poor economy tends to imply that things are bad all over the country, but the truth is that there is a striking difference between states where conditions are good and those where conditions are bad.
Foster City, Calif. (PRWEB) August 15, 2012
In an exclusive analysis, CardRatings.com looked at credit conditions in each of the 50 states and found a considerable difference in the credit profiles of the best and worst states. While some states in the U.S. are struggling to provide jobs and financial support to their residents, there are states that are far exceeding national averages. When state residency translates into extra income, better rates or superior employment opportunities, state lines become game-changers.
“Coverage of the poor economy tends to imply that things are bad all over the country, but the truth is that there is a striking difference between states where conditions are good and those where conditions are bad,” says Richard Barrington, CFA, senior financial analyst at MoneyRates.com and CardRatings.com contributor. “Anyone looking to relocate or, especially, start a business may do well to consider the list of the 10 best states for credit conditions.”
This analysis rated the strength or weakness of credit conditions in each state according to foreclosure rates, unemployment rates, average credit scores, credit card delinquency rates and bankruptcy rates. Tied scores were resolved based on which state in the tie ranked highest or lowest in the most categories.
According to CardRatings.com’s best and worst states for credit conditions, the 10 best states for credit conditions are:
1. North Dakota
3. South Dakota
The 10 worst states for credit conditions according to the survey are:
"It’s very interesting to look at credit conditions at a state level. I think states in the lower credit tier could learn quite a bit from what states in the upper tier are doing right,” said CardRatings.com founder Curtis Arnold. “While we’ve made significant progress as a nation since the credit crunch a few years back, there is still more progress that needs to be made. This survey underscores the fact that the need is greater in certain areas of the country."
The list of the 10 worst states not only reflects the harsh economic climate in those states, it could serve as a wake-up call to other states on the fringes. The road to economic recovery looks much longer for those states, and for the people who reside in them.
Meanwhile, the 10 best states could benefit from the positive recognition on this list; as it stands now, some of these states cannot fill all of the jobs they have available. Attracting people from more depressed areas could further strengthen the economies of the top 10 states – and ultimately help the national economy by better matching job seekers with opportunities.
For the full analysis, please see CardRatings.com’s 2012 10 Best and Worst States for Credit Conditions.
To determine state rankings, CardRatings.com analyzed indicators directly related to individual credit usage and repayment behavior as well as broad economic health indicators. The five categories analyzed were unemployment (Bureau of Labor Statistics, May 2012), personal bankruptcy rates (American Bankruptcy Institute), average credit score (Experian National Score Index), credit card delinquency rates (TransUnion) and home foreclosure rates (RealtyTrac). Tied total scores were resolved based on which state in the tie ranked highest in the most categories, and lowest in the fewest.
CardRatings.com is the leading comprehensive free source for comparing credit card offers and has been educating consumers on credit cards since 1998. The site regularly reports on consumer credit and debt issues and publishes editor and consumer reviews of balance transfer cards, student credit cards, gas credit cards and more. These resources allow consumers to compare and identify the credit cards best suited to their needs, get the best rates available and effectively lower their debt. The site was recently ranked the No. 1 credit card comparison site in Bing Editor's Picks. CardRatings.com is owned and operated by QuinStreet, Inc. (NASDAQ: QNST), one of the largest Internet marketing and media companies in the world. QuinStreet is committed to providing consumers and businesses with the information they need to research, find and select the products, services and brands that best meet their needs. The company is a leader in visitor-friendly marketing practices. For more information, please visit QuinStreet.com.