Toledo ranks in high 2% of cities with smallest bank card debt paydown, in accordance with examine

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Although much of the country started paying off soaring credit card debt this year, Toledoers are struggling to catch up.

TOLEDO, Ohio – While much of the country has managed to pay off soaring credit card debt this year, Toledo is a different story.

As part of a credit card debt study, WalletHub found that the average household debt in Glass City was $ 8,529, and Toledoers have only managed to repay $ 576 of that since early 2021.

Other parts of the country are doing much better, but in our region Toledo ranks 178th out of 182 cities examined. Detroit was last (182), Cleveland (179) and Columbus (163) are not far behind.

WalletHub analyst Jill Gonzalez says this is likely because areas like ours are still hit by the last recession.

“That is why we have seen that these effects are really hardened by the pandemic, we see that across the board here and so there is a small regional and also an industrial trend in terms of which industries are affected by the pandemic.” Pandemic.”

To break out of this debt cycle, you can do the following: make larger payments on the cards with smaller balances so that you can settle them quickly; Focus on paying out credit cards with the highest interest rate; pay more than the minimum: and re-prioritize your budget and find ways to reduce that debt.

“Credit card debt is likely to grow by around $ 60 billion in 2021, even after repaying $ 56.5 billion in the first quarter,” Gonzalez said. “It’s hard to imagine a scenario where debt wouldn’t rise a little in the short term as the economy re-opened, additional unemployment benefits cut back, and consumers made up for lost time on spending.”