Over the past year, on average, debt among Florida residents has greatly decreased. In fact, average debt dropped from $181,241 during the last three months of 2011 to $176,337 during the last three months of 2012. However, while this can be looked at in some ways as a positive, the fact remains that Florida ranks the highest in terms of mortgage delinquencies. Additionally, residents still also continue to struggle with student loan debt and many are also having financial issues when it comes to tackling credit card debt.
When speaking of mortgage delinquencies, on a national level the rate is 5.19 percent. In Florida, the rate is more than double the national average at 12.47 percent. The state ranks No. 1 in terms of homeowners being behind on mortgage payments, which puts them in direct threat of foreclosure.
Student loan debt also continues to be a problem. Just like other states, with the Great Recession, many found themselves out of work. Hoping to give themselves a competitive advantage, many of these people decided to go back to school. However, this was done at the same time that the country saw an increase in for-profit colleges and the cost of tuition rising. This led to many taking out thousands in student loans, only to graduate — and in many cases — still not be able to find a job due to the economy.
In talking about these types of debts, many wonder if they should file for bankruptcy. And while every situation is different, only being able to make minimum monthly payments on credit cards, falling behind on financial obligations and missing a mortgage payment are all definite signs that it is time to talk with bankruptcy attorney.
Source: Sun Sentinel, “Credit card debt, mortgage balances drop sharply in South Florida”, Donna Gehrke-White, Feb. 12, 2013
Our firm can provide information on the different types of debt relief solutions that may be available. To learn more, visit our Tampa bankruptcy page.
