Money Matters - States with the Most Collection Accounts

 

Collection accounts stay on a person’s credit report for seven years and can cause significant credit score damage, and increases in collection accounts in a state indicate that people are having trouble paying their bills. To identify where Americans’ financial futures are most in jeopardy, the personal-finance website WalletHub today released its updated report on the States With the Most Collection Accounts.    Most Collection Accounts Fewest Collection Accounts 1. Wyoming 41. Michigan 2. Montana 42. Maryland 3. Nevada 43. Illinois 4. Delaware 44. Oregon 5. South Carolina 45. Colorado 6. North Dakota 46. Massachusetts 7. Alaska 47. New York 8. Texas 48. Hawaii 9. Georgia 49. North Carolina 10. Vermont 50. Mississippi   For the full report and to see where your state ranks, please visit: https://wallethub.com/edu/states-with-the-most-collection-accounts/134307 “Collection accounts stay on your credit report for seven years, even once they’re fully paid off, so it’s ideal to not get into this situation in the first place. But if you do have an account in collections, there are several ways you can resolve the issue. You can work to pay off the balance, which may improve your credit score. You can also pursue debt settlement, create a debt management plan, or try to wait out the statute of limitations. No matter what avenue you decide on, you should know your rights and protect yourself from harassment by debt collectors.” --- “Wyoming is the state with the most collection accounts, with an average of more than four accounts per resident in collections. Wyoming also has the highest average balance per collection account, at $1,981. Collection account totals are changing for the better in Wyoming, though not as much as in other states. Wyoming only had marginal decreases in the number of accounts per person and in the average collections balance between Q2 and Q3 2024.”   - Chip Lupo, WalletHub Writer and Analyst  More From WalletHub States With the Most People in Financial Distress States Where People Are the Most Delinquent on Debt States Where Credit Card Delinquency Is Increasing the Most States Where Consumers Are Adding the Most Debt States With the Highest & Lowest Credit Scores States With the Most Credit Cards States Adding the Most Personal Loan Debt States Where Auto Loan Debt Is Increasing the Most