North Dakota Tops List of Best States for Credit Conditions by, Nevada Worst

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The latest research from shows that the Upper Midwest region – particularly the Dakotas – is a hotbed for good credit conditions, while the Southeast has four of the worst five states for credit in the country.

Nevada, Georgia and Florida were the hardest-hit states in the recession, and those states seem to be having the toughest time recovering. The energy boom in North and South Dakota has powered those states through the worst times.

Strong ratings across average credit scores, credit card delinquencies, unemployment, bankruptcy and foreclosures put North Dakota at the top of’s Best States for Credit Conditions for the fourth consecutive year. Its neighbor South Dakota placed in the top-10 of all five metrics as well to earn second on the list in back-to-back years, tying with Vermont.

Nevada, while no longer having the highest unemployment rate in the country, placed among the bottom 10 of all five analysis measures to keep its title as the Worst State for Credit Conditions for all four years the study has been conducted, followed by four states from the Southeast.

“Nevada, Georgia and Florida were the hardest-hit states in the recession,” says Curtis Arnold, founder and editor-in-chief of, “and those states seem to be having the toughest time recovering. The energy boom in North and South Dakota has powered those states through the worst times.”

The criteria for determining the Best and Worst States for Credit Conditions:

  •     Average credit scores from Equifax
  •     Foreclosure rates from RealtyTrac
  •     Credit card delinquency rates from TransUnion
  •     Unemployment rates from the U.S. Bureau of Labor Statistics
  •     Bankruptcy rates from the American Bankruptcy Institute

Using these factors, here are the 10-best states for credit conditions:

1.    North Dakota
2.    South Dakota (tie)
2.    Vermont (tie)
4.    Montana
5.    Hawaii
6.    Nebraska
7.    Wyoming
8.    Iowa
9.    Minnesota
10.    New Hampshire

The following are the worst states for credit conditions:

1.    Nevada
2.    Georgia
3.    Alabama
4.    Florida
5.    Mississippi
6.    Illinois (tie)
6.    Indiana (tie)
8.    Kentucky
9.    Louisiana
10.    Maryland (tie)
10.    Michigan (tie)
10.    Tennessee (tie)

For individuals looking to get out of debt, find a job or start or relocate a business, the states in’s Top 10 have the right mix of economic ingredients to inspire confidence in financial stability. The somewhat volatile environments in the bottom-10 may cause those same Americans to rethink relocation.

The full analysis of the best and worst states for credit conditions, as well as the entire 50-state rankings, can be found here:


To determine state rankings, 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.

About CardRatings is the leading comprehensive free source for comparing credit card offers. The site has been educating consumers, publishing news and providing expert advice on credit cards and debt since 1998. offers consumer reviews of credit cards and issues an annual ranking of top-rated cards in a variety of categories to help consumers find the credit cards best suited to their needs, get the best credit card rates available and effectively lower their debt., of Little Rock, Ark., 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 ethical marketing practices. For more information, please visit


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