Texas Ranks #1 for Financial Distress in New Report

(KNUE-FM) We are reminded every time we go to the grocery store here in Texas, things are costing more now than ever before. You can try to watch your spending, but it’s tough when a few items at the store is now costing what would have been a week's worth of groceries for your family. But you’re not alone, according to a new WalletHub report, Texas now has the largest number of residents in financial distress.

What Is Financial Distress?

According to the research company, financial distress means you have a line of credit that you’re not able to pay, or you have deferred payments. There are so many different reasons that this could happen, we know that in Texas there have been mass layoffs with lots of companies in addition to the inflation that everyone has been dealing with.

Why Texas Debt Keeps Rising

Texas had the third highest number of accounts with residents not able to pay, Texas also experienced a 22% increase in non-business bankruptcy filings in the past year.

Texas residents were among the most common to search for terms indicating people were “desperate to borrow, despite already owing money.”

Get our free mobile app

Texas Cities Hit Hardest

According to the WalletHub report we had 4 Texas cities that ranked in the top 10 for most financially distressed in the country. Coming in at #10 was Austin, #7 was San Antonio, #4 was Dallas. It’s hardly worth celebrating, but Houston ranks #1 for financial distress in the U.S.

Now might be the perfect time to sit down, look at your bills, and set a budget before things get out of control.