The Virginian-Pilot
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Virginia ranked ninth-lowest in a survey on average consumer debt, but the head of the company that conducted the study said the state's stats are "not necessarily something to be proud of."
In the CareOne Services Inc. study of its customers, Virginians averaged $14,194 in debt, with five creditors per consumer. The lowest of all was California, at $12,801 and five creditors. The most debt-laden: Delaware, at $20,233 and seven creditors.
CareOne, based in Columbia, Md., helps consumers get out of debt. The survey was based on more than 135,000 people who enrolled in CareOne's debt management or settlement programs in 2009 and last year.
Mike Croxson, president of CareOne, put Virginia's ranking in perspective. The average income of Virginians in the study was $36,000, so their debt-to-income ratio was 39 percent.
That's better than Delaware's 56 percent ratio, Croxson said, but still "extremely high."
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AVERAGE?
Almost no one is average, average being a statistical creation with which none of us identify. Say the lowest debt is that of a high earner, a reasonably frugal money handler; say the highest debt is is a middle income earner raising children whose earnings are totally consumed by debt service and current expenses; neither include the poverty earner or the wealthy, so, average really is a term that is meaningless for everyone.
Incorrect conclusions from data
If you think about it, all this statistic shows is how much debt people in certain regions are willing to accumulate before they're desparate enough to enlist the sponsoring company's services.
It's like those claims by all the car insurance companies of how much the "average customer" saves when they switch. They only look at people who DID switch, so the bigger dollar figure only indicates how much savings it takes to convince them to put up with the inconvenience of switching and the decline in service or coverage that the new company offers.
comical
No one forces anyone else into debt. Stop buying everything you see.
Far too many of us live lives of prudent financial management, living within our means and carrying no consumer debt, and we a constantly forced to pick up the tab for people with no impulse control.
If your current wages are too low then "invest" in some education, go to school at night, take classes online, change your life. We have an open system of opportunity, with bountiful financial aid help, stop complaining about what the other guy has and do something to earn something for yourself.
An Illusion
"... The survey was based on more than 135,000 people who enrolled in CareOne's debt management or settlement programs..."
This study might be a bit misleading. These were people that "Enrolled" in a Debt Programme....
People that have Not enrolled in such a programme are of all varieties, I personally have no consumer debt and live in VA, a company such as CareOne has no way to analyzing such statistics only a credit reporting agency could measure those results.
Agree, not a typical sample of people
Obviously, if you don't have Debt, there's no reason to use debt management services.
Welcome to the corporate vision and reality for the...
the American employee. Keep wages artificially low through union busting, high unemployement and competition with third world countries.
Keep the employees in debt. Employees in debt are less likely to demand justice in the workplace out of fear of losing their jobs.
The debt keeps them shackled to the job no matter what the conditions because they must work cradle to grave. With the low wages they must incur debt to survive and will pay on this debt from cradle to grave keeping debtor profits fat and continuous.
The Corporate American Dream
open minded seems closed mined
When at least half one's income goes to pay taxes (federal, state, social security, medicare, sales, real estate, personalproperty, etc.), it is no wonder the government budgets begin to strain as incentives disappear as fast as disposable income. Time to get government compensation and benefits and retirement commitments under control before we run off the cliff. Lower taxes will stimulate the economy, unlike government stimulus. That will create real jobs.
Hmmm, so you think it's
Hmmm, so you think it's right for hourly employees to be paid when a plant closes for a couple days as the market catches up to what they've produced? You think it's right for workers in a factory who do menial tasks (due to the engineering that went in to reducing human error) to make more per hour than people who save lives, protect our neighborhoods, risk their lives? You wonder why manufacturing jobs have gone overseas? It's due to the unrealistic expectations that Unions have placed on businesses. So keep on spewing the hate toward business. If it weren't for the very businesses you hate, there would be no work.
Unions have nothing to do with what I am talking about.
The unionization rate is less than 11% in the United States and has been for over a decade and under 20% for over two decades. So since unions are steadily declining, how com America is not realizing the economic Utopia that you speak of.
How come are parents and grandparents had more real buying power and less debt than their children.
How come the non union jobs are being outsourced to even cheaper third world countries.
And as you said, how come EMTs, Fire Fighters, School Teachers and Police in Virginia earn so little. Without unions, they should be thriving correct?. The rest of non union Virginia should be thriving and not incuring debt but saving for their future. But savings are down and debt is up across the nation.
What is economic utopia did
What is economic utopia did I speak of? Want to know why people accrue so much debt? It's because it's too easy to come by. How many of the people you spoke about, moms, dads, grandpa, grandma had two or more cars? Had a house? Had a big screen TV that many people have now? How many people had cable for that matter? How many could go out to eat as often as they do? I could keep going on and on and on about this.
The police - union - fire - union - teachers? Well, I believe there is a teachers union. But - they are all civil servants who get paid by tax dollars. You have to talk to the politicians on that one. before you do, though, ensure their salaries really are out of line. Not like Unions, which are.