San Antonio Residents Accumulate More Personal Debt In Q1

San Antonio citizens, struggling under the duress of continued inflation pressures, have shouldered a heavier burden of debt in the first quarter of the fiscal year, reveals a new study conducted by WalletHub, a reputed personal finance site. The average unsecured individual loan debt within the city has swelled 8.32%, reaching $6,249 as compared to the corresponding quarter in the previous year.

With the surge in aggregate personal loan arrears, San Antonio now ranks 30th across United States in terms of average personal loan debt, as found by WalletHub researchers. John Kiernan, WalletHub Editor, while releasing a statement on these findings, mentioned, “Whilst it might suggest individuals are keener to borrow, it is essential to cross-refer these numbers with other associated factors such as delinquency rates and credit scores of the consumers to anticipate the actual economic scenario.”

Kiernan furthered his statement while stating that “Residents in certain cities appear to be doing a commendable job in handling their proportionately increased debts. In some unusual scenarios, a higher valuated debt might also signify improved creditworthiness.”

Comparison with Other Cities

Rivaling with San Antonio on the Texas turf, Austin’s mean personal loan debt emerged to be higher, at $7,874. However, Austin managed to bag a favorable position on the list since this average represents a nearly 1% reduction compared to last year’s corresponding period. Lubbock was the single other city in Texas that exhibited a reduction in debt – a 1.47% decrease, dropping to $4,960.

Cities recording the largest increases in personal loan debt were topped by Detroit, where it escalated at the rate of 18%. Following closely were Wichita, Kansas, and Madison, Wisconsin, registering the second and third highest increases at 15.8% and 15.5% respectively.

Comparative urban study revealed that the affluent suburb of Phoenix, Scottsdale, showcased the highest average personal debt quantified in dollar amount at a staggering $13,808. However, this sum denotes a close to 2.1% decrease.

Consolidated Debt Scenario: Inclusion of Credit Card Debt

Based on the information provided by WalletHub in March, San Antonio was evaluated at the 116th position with regards to increased debt accruing from credit card (plastic money) usage. The average household credit card debt rose by $1,072, standing at a whopping $14,153, compared to the same period of 2023 for the First Quarter of the year. The total credit card debt in San Antonio escalated by $582 million over the fiscal quarter, ultimately attaining a figure of $7.7 billion.

Experts are closely monitoring arising trends in personal debt to develop better insights into the financial behavior of residents, their coping mechanisms under fiscal stress, and the overall impact on San Antonio’s economy.