When it comes to credit card burden, Phoenix is about average
PHOENIX — When it comes to credit card burden, Phoenix is about average, Tempe is in great shape and Cave Creek is among the worst in the nation, according to a new personal finance website report.
Using recent credit bureau data, WalletHub calculated how long it would take to pay off the average card debt in more than 2,500 U.S. cities.
The results, which were released Monday, took into account the median credit card balances, excluding store cards, and incomes in each city.
“Obviously it’s New Year’s resolution season, so hopefully paying off debt is one of your resolutions,” WalletHub analyst Jill Gonzalez told KTAR News 92.3 FM.
“It’s always good to do that sooner rather than later, especially now when the Federal Reserve is raising interest rates pretty much once a quarter.”
In Phoenix, the average credit card would take 12 months and 19 days to pay off.
That put Arizona’s largest city in the 47th percentile nationally, a tad better than the middle of the pack (cities with the longest payoff timeline are in the 99th percentile and the shortest are in the first percentile.)
Tempe had the shortest payoff time in the state at nine months and two days, placing the East Valley suburb in the third percentile nationally.
Near the other end of the scale, Cave Creek in the Northeast Valley was in the 96th percentile with a payoff time of 17 months and 10 days.
Scottsdale also was conspicuous for its long payoff time at 15 months and 25 days, putting the city in the 90th percentile.
The study included 40 Arizona cities, which were spread throughout the spectrum.
Sun City (11th percentile) was the only Valley city other than Tempe in the top quarter nationally, while Maricopa (75th), Chandler (75th), Sun City West (78th), Fountain Hills (78th), Peoria (81st), Gilbert (83rd), Goodyear (84th), Queen Creek (87th), San Tan Valley (87th), Litchfield Park (90th) joined Cave Creek and Scottsdale in the bottom quarter.
KTAR News 92.3 FM’s Ashley Flood contributed to this report.