Where Americans are falling behind most on their debt

Credit card debt rises to record levels

FOX Multimedia Reporter Kennedy Hayes joins LiveNOW from FOX to talk about rising credit card debt amid the holiday season.

Debt is a constant problem for many Americans. 

A new study from WalletHub reveals which states have the most people falling behind in their debt payments. 

Missing debt payments—also called delinquency—can seriously damage your credit. Late payments can remain on your credit report for up to seven years and may lead to late fees, higher interest rates, account closures, or even legal action.

To pinpoint where Americans are struggling most with debt, WalletHub analyzed proprietary user data from all 50 states for the first quarter of 2025. Rankings were based on two key metrics: the percentage of delinquent tradelines and the portion of total loan balances that were past due.

What they're saying:

"Being delinquent on debt can lead to fees, credit score damage, increased interest rates and other negative repercussions," WalletHub Analyst Chip Lupo said in an online statement. "That’s why it’s important to get current as quickly as possible. For many types of debt, you will have at least 30 days after your due date to make your payment before the lender officially reports it as ‘late’ to the credit bureaus. Many lenders also offer hardship programs that can allow you to temporarily forgo payments due to financial difficulty."

Where Americans are struggling most with debt

Dig deeper:

Mississippi

Mississippi ranks first in the nation for debt delinquency. In the first quarter of 2025, about 14.3% of individual loans and lines of credit in the state were past due — the highest rate in the U.S. But the problem goes beyond just the number of delinquent accounts. When looking at total dollar amounts, nearly 13.1% of all debt owed by Mississippi residents was delinquent, also the highest share in the country.

Louisiana

Louisiana has the second-highest debt delinquency rate in the country, with 13.1% of individual loans and lines of credit past due. In terms of total dollar amounts, 11.9% of all debt owed by Louisiana residents is delinquent — also the second-highest percentage nationwide.

West Virginia

West Virginia ranks third in overall debt delinquency. In the first quarter of 2025, 12.3% of individual loans and lines of credit in the state were past due. These delinquent accounts make up 10.1% of the total debt owed by residents.