Regardless of all of the monetary complications of Golden State life, it’s noteworthy that Californians stay higher at making well timed funds than the nation.
My trusty spreadsheet reviewed the most recent client bill-payment information from the Federal Reserve Financial institution of New York. The analysis, drawn from a sampling of particular person credit score histories, examines debt ranges and funds from 2003 to the second quarter of 2025 in 11 massive states – together with California – and the nation.
Let’s have a look at the scale of the past-due payments for a typical Californian. Money owed which might be overdue 90 days or extra equaled $1,666 per capita within the second quarter.
That’s the best quantity of delinquent funds because the third quarter of 2015. It’s additionally greater than double the last decade’s low of $792 in 2023’s first quarter.
And whereas these are worrisome traits, let me notice California’s delinquencies are nowhere close to the $10,477 excessive set within the second quarter of 2009, through the Nice Recession.
The patterns are comparable elsewhere. Invoice-paying challenges are rising from lows fueled by pandemic-era stimulus money and mortgage forbearances that at the moment are gone.
Have a look at the standard American who was late on $1,903 value of payments, per capita, within the second quarter. That’s 14% greater than California, often identified for monetary stresses bigger than the nation.
It’s additionally the most important unpaid U.S. client debt because the begin of 2015 and double the low of $880 in 2023’s first quarter.
Once more, it’s simply an uptick value watching. Skipped payments stay removed from the file U.S. excessive – $4,352 in 2010’s first quarter.
Aggressive numbers
Slower funds are a standard theme throughout the nation in 2025.
The tip of deferred pupil mortgage funds is an enormous purpose. Renewed compensation calls for are a problem for academic debtors.
Different payments change into struggles, too, because the financial system cools, inflation nonetheless boosts bills, and excessive rates of interest amplify the ache of any borrowings.
Have a look at delinquency in California’s massive financial rivals.
In Texas, gradual funds are $2,356 per capita. That’s 41% greater than California and Texas’s all-time excessive.
And in Florida, there’s $2,561 in late payments per capita – 54% above the Golden State and up 155% from the $1,003 low in 2023’s first quarter.
A unique look
Ponder these skipped funds as a share of complete money owed to see below-average tardiness.
California’s late payments equaled 1.9% of every thing owed within the second quarter. That’s properly beneath the three.6% common delinquency over 23 years.
Distinction that to the three% of money owed which might be late nationwide. Nonetheless, the standard American is lacking just a few due dates that the three.7% U.S. common since 2003.
Texas has a 3.9% late fee fee, equal to its common. And Florida? 4.1% late pays vs. a 6.3% common.
Huge money owed
Californians owe numerous cash, because of massive loans wanted to purchase costly houses.
But borrowing is out of favor just lately – statewide and nationally. Some of us see fewer new money owed as an indication of economic self-discipline. Others assume the frugality alerts financial skittishness.
Statewide, there have been a complete of $87,660 per capita in money owed this spring – up 1.6% in a yr. However it’s roughly half of California’s 3.1% annual development over 23 years.
Distinction that to the standard American, who has solely $63,020 in debt per capita. That’s up 1.9% in a yr vs. the three.3% common.
Texas? $59,940, up 4.1% in a yr, on par with its historic tempo. Florida? $62,000, up 2.9% – beneath its 3.6% common.
Second opinion
Californians are additionally above common with regards to one other sort of bill-paying scorecard – credit score scores.
Peek at two current state-by-state measurements of creditworthiness – FICO and VantageScore. The everyday Golden Stater had a median 715 rating.
That is the twenty fifth finest among the many states and tops the 709 nationwide rating. The state and U.S. scores are thought of mid-range “good” bill-paying grades on a scale that runs to the “perfect” 850.
One of the best credit score scores? Minnesota (735), New Hampshire (732), Vermont (731), Wisconsin (730), and Washington state (729).
The bottom? Mississippi (675), Louisiana (683), Alabama (686), Texas (688), and Arkansas and Georgia at 689. And Florida was No. 37 at 702.
Initially Revealed: August 11, 2025 at 8:28 AM PDT
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