ATLANTA, Aug. 26
/PRNewswire-HISPANIC PR WIRE/ -- CredAbility, one of the leading nonprofit
credit counseling and education agencies in the United States, today released
the CredAbility Consumer Distress Index results for the 2010 second quarter.
The Index, a quarterly measure that tracks the financial condition of the
average U.S. household, finds that high levels of unemployment and the strain
of housing costs continue to keep consumers mired in financial distress. But
consumers net worth has increased for the past five quarters as they continue
to pay down debt and, in some parts of the country, benefit from stabilizing
housing prices.
For the quarter ended
June 30, 2010, American households scored a 65.2 on the indexs 100-point
scale, up from 65.0 in the first quarter of 2010, yet still below the score of
66.5 for the same period one year ago.
A score below 70 indicates a state of financial distress. The average U.S. consumer has been in
financial distress for eight consecutive quarters, according to the Index.
For the first time,
CredAbility is also releasing consumer distress scores for all 50 states and
the District of Columbia. The second
quarter 2010 data reveals stark regional differences. Only nine states, primarily in the upper Midwest and Great
Plains, achieved scores above the distress threshold of 70 points.
Among the states,
Nevada posted the worst score on the index with a 59.23, while North Dakota had
the best performance, with a score of 78.95. To see a detailed explanation of
how the index works and a national map, go to
www.CredAbility.org/ConsumerDistressIndex.
"The average
American remains gripped by financial distress," said Mark Cole,
CredAbilitys chief operating officer and executive responsible for the
CredAbility Consumer Distress Index.
"The modest improvements we see in housing and net worth show
incremental, but positive signs of stabilization. But to use a medical analogy,
the patient is still in critical condition.
Until housing and employment markets improve significantly, we cannot
expect to see significant recovery in these numbers."
Cole added: "We do
find some areas of the country where consumers are more financially stable, but
these are in the states that account for only a small portion of the total U.S.
population."
Highlights from the
second quarter Index data include:
-- The five states with
the lowest Index scores were Nevada (59.23), Mississippi (60.62), Florida
(61.01), Michigan (61.01) and South Carolina (61.29). Each faces acute challenges in employment and housing markets,
which weigh heavily on their overall scores.
-- Forty-one states and
the District of Columbia continued to score at levels that indicate distress.
-- Only nine states,
led by North Dakota (78.95) and South Dakota (77.43), scored above the distress
threshold of 70 points. Rounding out
the top five were Nebraska (76.09), Wyoming (72.80) and Vermont (72.05).
-- Collectively, these
nine states (also including Iowa, Alaska, New Hampshire and Kansas), account
for just 4 percent of the total U.S. population.
Second quarter Index
data by state:
Q2
2010 Q1 2010 Q4 2009
Q3 2009 Q2 2009
------- ------- -------
------- -------
National 65.23% 65.04% 63.96% 65.23% 66.46%
-------- ----- ----- ----- ----- -----
States Q2 2010 Q1 2010 Q4 2009 Q3 2009
Q2 2009
------ ------- ------- ------- -------
-------
Nevada 59.23% 59.16% 59.56% 60.57% 61.52%
------ ----- ----- ----- ----- -----
Mississippi 60.62% 60.57% 60.69% 61.53% 62.45%
----------- ----- ----- -----
----- -----
Florida 61.01% 60.70% 60.48% 61.37% 62.60%
------- ----- ----- ----- ----- -----
Michigan 61.01% 60.69% 60.47% 61.27% 62.08%
-------- ----- ----- ----- ----- -----
South
Carolina 61.29% 60.63% 60.09% 60.88% 62.00%
--------- ----- ----- ----- ----- -----
Georgia 61.37% 61.24% 61.13% 62.04% 63.35%
------- ----- ----- ----- ----- -----
California 61.71% 61.36% 61.29% 62.33% 63.50%
---------- ----- ----- ----- ----- -----
Alabama 61.89% 61.60% 61.46% 62.25% 63.39%
------- ----- ----- ----- ----- -----
Arizona 62.05% 61.75% 61.62% 62.41% 63.76%
------- ----- ----- ----- ----- -----
Tennessee 62.26% 61.72% 60.97% 61.70% 62.67%
--------- ----- ----- ----- ----- -----
North
Carolina 62.28% 62.11% 61.53% 62.46% 63.58%
--------- ----- ----- ----- ----- -----
Indiana 62.61% 62.27% 61.74% 62.32% 63.10%
------- ----- ----- ----- ----- -----
Ohio 63.06% 62.60% 62.18% 63.08% 64.06%
---- ----- ----- ----- ----- -----
Kentucky 63.38% 62.83% 62.03% 62.81% 64.11%
-------- ----- ----- ----- ----- -----
Rhode
Island 63.70% 63.33% 63.20% 64.15% 65.35%
------- ----- ----- ----- ----- -----
West
Virginia 64.50% 64.11% 63.39% 64.27% 65.58%
--------- ----- ----- ----- ----- -----
Missouri 64.62% 64.37% 63.97% 64.85% 65.89%
-------- ----- ----- ----- ----- -----
District
of
Columbia 64.64% 66.07% 65.72% 66.36% 66.36%
--------- ----- ----- ----- ----- -----
Oregon 64.66% 64.29% 63.72% 64.58% 65.77%
------ ----- ----- ----- ----- -----
Illinois 64.66% 64.45% 64.43% 65.33% 66.54%
-------- ----- ----- ----- ----- -----
Idaho 65.11% 64.51% 64.48% 65.51% 67.28%
----- ----- ----- ----- ----- -----
Washington 65.60% 65.59% 65.71% 67.06% 68.84%
---------- ----- ----- ----- ----- -----
New Mexico 65.72% 65.64% 65.42%
66.58% 68.50%
---------- ----- ----- ----- ----- -----
Arkansas 65.73% 65.24% 64.54% 65.50% 66.89%
-------- ----- ----- ----- ----- -----
Texas 65.89% 65.82% 65.36% 66.27% 67.55%
----- ----- ----- ----- ----- -----
Maine 66.04% 65.78% 65.46% 66.55% 67.80%
----- ----- ----- ----- ----- -----
Delaware 66.96% 66.34% 66.00% 66.92% 68.23%
-------- ----- ----- ----- ----- -----
Pennsylvania 66.99% 66.92% 66.61% 67.59% 68.77%
------------ ----- ----- ----- ----- -----
Louisiana 67.64% 68.13% 68.59% 69.43% 70.30%
--------- ----- ----- ----- ----- -----
Utah 67.65% 67.79% 68.15% 69.02% 70.64%
---- ----- ----- ----- ----- -----
New Jersey 67.67% 67.42% 67.40% 68.41% 69.50%
---------- ----- ----- ----- ----- -----
New York 67.79% 67.45% 67.35% 68.43% 69.49%
-------- ----- ----- ----- ----- -----
Wisconsin 68.05% 67.48% 66.59% 67.59% 68.85%
--------- ----- ----- ----- ----- -----
Colorado 68.34% 68.31% 68.15% 68.91% 70.12%
-------- ----- ----- ----- ----- -----
Massachusetts 68.37% 68.18% 68.08% 68.98% 70.27%
------------- ----- ----- ----- ----- -----
Oklahoma 68.63% 69.02% 69.10% 70.05% 71.02%
-------- ----- ----- ----- ----- -----
Hawaii 68.65% 67.96% 67.84% 69.11% 70.60%
------ ----- ----- ----- ----- -----
Maryland 68.94% 68.94% 68.89% 69.94% 71.18%
-------- ----- ----- ----- ----- -----
Connecticut 69.23% 69.04% 68.96% 70.10% 71.57%
----------- ----- ----- ----- ----- -----
Virginia 69.30% 69.16% 69.21% 70.14% 71.37%
-------- ----- ----- ----- ----- -----
Montana 69.51% 69.99% 69.75% 70.96% 73.14%
------- ----- ----- ----- ----- -----
Minnesota 69.75% 69.01% 68.14% 68.87%
70.06%
--------- ----- ----- ----- ----- -----
Kansas 70.26% 69.79% 69.29% 70.12% 71.28%
------ ----- ----- ----- ----- -----
New
Hampshire 70.64% 69.26% 69.07% 70.16% 71.70%
---------- ----- ----- ----- ----- -----
Alaska 70.70% 70.68% 70.70% 70.92% 72.21%
------ ----- ----- ----- ----- -----
Iowa 71.40% 70.97% 69.98% 71.08% 72.76%
---- ----- ----- ----- ----- -----
Vermont 72.05% 71.63% 71.07% 72.30% 73.50%
------- ----- ----- ----- ----- -----
Wyoming 72.80% 72.83% 72.76% 73.82% 75.75%
------- ----- ----- ----- ----- -----
Nebraska 76.09% 75.47% 74.20% 75.31% 76.38%
-------- ----- ----- ----- ----- -----
South
Dakota 77.43% 77.21% 75.62% 76.91% 78.34%
------- ----- ----- ----- ----- -----
North
Dakota 78.95% 78.89% 79.25% 79.83% 80.58%
------- ----- ----- ----- ----- -----
About the CredAbility
Consumer Distress Index
Published quarterly,
the CredAbility Consumer Distress Index uses a proprietary methodology that
draws upon multiple data sets. Employment, housing, credit, household budget
and net worth information is supplemented with data collected by CredAbility,
which serves more than 750,000 financially distressed individuals each year.
About CredAbility
CredAbility is one of
the leading nonprofit credit counseling and education agencies in the United
States, serving clients in all 50 states plus the District of Columbia, Guam,
Puerto Rico and the US Virgin Islands, in both English and Spanish. In addition
to providing counseling via telephone and internet, CredAbility operates 28
offices across the southeast, including 25 offices where people can receive
in-person counseling.
Founded in 1964, CredAbility
is a family of Consumer Credit Counseling Service agencies that includes CCCS
of Greater Atlanta, CCCS of Central Florida and the Florida Gulf Coast, CCCS of
Palm Beach County and the Treasure Coast, CCCS of East Tennessee and CCCS of
Jackson (Mississippi).
The nonprofit agency is
accredited by the Council on Accreditation and is a member of the Better
Business Bureau and the National Foundation for Credit Counseling (NFCC).
Governed by a community-based board of directors, CredAbility is funded by
creditors, clients, contributors and grants from foundations, businesses and
government agencies. Service is provided 24/7 by phone at 800.251.2227 and
online at www.CredAbility.org.
SOURCE CredAbility
rss
