Laden with pandemic-related emergency assistance and little to spend it on thanks to COVID-19 lockdowns, U.S. consumers paid down a record amount of their credit card balances in 2020. But since then, they have returned to their usual vice of carrying higher amounts of unsecured, high-interest consumer debt.
Consumers added $87.3 billion to credit card balances in 2021 after paying down $82.1 billion in credit card debt in 2020, according to the online personal finance information provider WalletHub. U.S. consumers had credit card balances totaling $1.02 trillion as of the fourth quarter of last year. The average credit card debt of a U.S. household was $8,590 by the end of that quarter.
To identify the cities paying down the most credit card debt, 24/7 Wall St. reviewed WalletHub’s ranking of average credit card paydowns for 182 U.S. cities. All data is from the report except median household income figures, which are from the Census Bureau American Community Survey 2019 five-year estimates. To create its report, WalletHub used data from the Census Bureau, Federal Reserve, TransUnion, and the Bureau of Labor Statistics.
High levels of debt tend to correlate with high levels of paydowns, as consumers (at least those who do not tumble into insolvency) try to whittle down their debts. But that is not always the case. Some debtors are barely able to scrounge up money to pay their minimum balances (plus interest) from month to month, while others manage to devote larger amounts toward these monthly payments.
For example, plastic debtors in Pearl City, Hawaii, owed an average of $16,126 on their cards by the end of 2021 but only paid down $908 throughout the year. Debtors in Santa Clarita, California, on the other hand, who carry an average of $14,995 in credit card debt, lowered their balances by $4,715 over the year, according to WalletHub. (Both California and Hawaii are among the states with the highest cost of living. This state has the highest cost of living.)
Among the top 25 cities where debtors paid down the most credit card debt in 2021, the average debt was $12,378 by the end of 2021 and the average pay down was $2,879. But people do not just have credit card debt. These are 50 U.S. counties with the most student debt.
Click here to see cities paying down the most credit card debt
25. Gilbert, Arizona
> Household credit card debt pay down: -$2,394
> Avg. household credit card debt: $13,982 — #12 out of 182 cities
> Total credit card debt: $1.09 billion — #78 most out of 182 cities
> Median household income: $96,857 — #8 highest out of 182 cities
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24. Montgomery, Alabama
> Household credit card debt pay down: -$2,408
> Avg. household credit card debt: $9,955 — #111 out of 182 cities
> Total credit card debt: $789.48 million — #116 most out of 182 cities
> Median household income: $48,011 — #133 highest out of 182 cities
23. Fremont, California
> Household credit card debt pay down: -$2,447
> Avg. household credit card debt: $10,811 — #79 out of 182 cities
> Total credit card debt: $818.24 million — #109 most out of 182 cities
> Median household income: $133,354 — #1 highest out of 182 cities
22. Arlington, Texas
> Household credit card debt pay down: -$2,506
> Avg. household credit card debt: $11,317 — #66 out of 182 cities
> Total credit card debt: $1.53 billion — #52 most out of 182 cities
> Median household income: $60,571 — #74 highest out of 182 cities
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21. Chandler, Arizona
> Household credit card debt pay down: -$2,511
> Avg. household credit card debt: $12,023 — #46 out of 182 cities
> Total credit card debt: $1.10 billion — #77 most out of 182 cities
> Median household income: $82,925 — #18 highest out of 182 cities
20. Plano, Texas
> Household credit card debt pay down: -$2,527
> Avg. household credit card debt: $13,944 — #13 out of 182 cities
> Total credit card debt: $1.48 billion — #54 most out of 182 cities
> Median household income: $95,602 — #9 highest out of 182 cities
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19. Phoenix, Arizona
> Household credit card debt pay down: -$2,561
> Avg. household credit card debt: $10,924 — #74 out of 182 cities
> Total credit card debt: $6.18 billion — #8 most out of 182 cities
> Median household income: $57,459 — #93 highest out of 182 cities
18. Peoria, Arizona
> Household credit card debt pay down: -$2,580
> Avg. household credit card debt: $11,746 — #50 out of 182 cities
> Total credit card debt: $700.73 million — #137 most out of 182 cities
> Median household income: $75,323 — #24 highest out of 182 cities
17. Fontana, California
> Household credit card debt pay down: -$2,587
> Avg. household credit card debt: $13,070 — #19 out of 182 cities
> Total credit card debt: $713.05 million — #132 most out of 182 cities
> Median household income: $72,918 — #29 highest out of 182 cities
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16. Long Beach, California
> Household credit card debt pay down: -$2,618
> Avg. household credit card debt: $11,450 — #58 out of 182 cities
> Total credit card debt: $1.91 billion — #39 most out of 182 cities
> Median household income: $63,017 — #60 highest out of 182 cities
15. Anaheim, California
> Household credit card debt pay down: -$2,677
> Avg. household credit card debt: $12,900 — #25 out of 182 cities
> Total credit card debt: $1.31 billion — #60 most out of 182 cities
> Median household income: $71,763 — #32 highest out of 182 cities
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14. Port St. Lucie, Florida
> Household credit card debt pay down: -$2,680
> Avg. household credit card debt: $11,265 — #67 out of 182 cities
> Total credit card debt: $732.92 million — #128 most out of 182 cities
> Median household income: $60,587 — #73 highest out of 182 cities
13. Virginia Beach, Virginia
> Household credit card debt pay down: -$2,715
> Avg. household credit card debt: $14,026 — #11 out of 182 cities
> Total credit card debt: $2.40 billion — #29 most out of 182 cities
> Median household income: $76,610 — #22 highest out of 182 cities
12. Glendale, California
> Household credit card debt pay down: -$2,726
> Avg. household credit card debt: $12,769 — #29 out of 182 cities
> Total credit card debt: $953.79 million — #86 most out of 182 cities
> Median household income: $66,130 — #49 highest out of 182 cities
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11. Chesapeake, Virginia
> Household credit card debt pay down: -$2,726
> Avg. household credit card debt: $15,062 — #3 out of 182 cities
> Total credit card debt: $1.28 billion — #63 most out of 182 cities
> Median household income: $78,640 — #21 highest out of 182 cities
10. Fort Smith, Arkansas
> Household credit card debt pay down: -$2,728
> Avg. household credit card debt: $8,350 — #169 out of 182 cities
> Total credit card debt: $299.85 million — #166 most out of 182 cities
> Median household income: $41,724 — #162 highest out of 182 cities
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9. Chula Vista, California
> Household credit card debt pay down: -$2,731
> Avg. household credit card debt: $15,024 — #4 out of 182 cities
> Total credit card debt: $1.20 billion — #70 most out of 182 cities
> Median household income: $81,272 — #19 highest out of 182 cities
8. Bakersfield, California
> Household credit card debt pay down: -$2,758
> Avg. household credit card debt: $10,369 — #93 out of 182 cities
> Total credit card debt: $1.21 billion — #68 most out of 182 cities
> Median household income: $63,139 — #59 highest out of 182 cities
7. Irvine, California
> Household credit card debt pay down: -$2,835
> Avg. household credit card debt: $12,647 — #34 out of 182 cities
> Total credit card debt: $1.24 billion — #65 most out of 182 cities
> Median household income: $105,126 — #5 highest out of 182 cities
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6. Riverside, California
> Household credit card debt pay down: -$2,869
> Avg. household credit card debt: $13,401 — #16 out of 182 cities
> Total credit card debt: $1.22 billion — #67 most out of 182 cities
> Median household income: $69,045 — #40 highest out of 182 cities
5. Moreno Valley, California
> Household credit card debt pay down: -$3,144
> Avg. household credit card debt: $12,263 — #43 out of 182 cities
> Total credit card debt: $624.03 million — #146 most out of 182 cities
> Median household income: $66,134 — #48 highest out of 182 cities
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4. Rancho Cucamonga, California
> Household credit card debt pay down: -$3,489
> Avg. household credit card debt: $13,232 — #18 out of 182 cities
> Total credit card debt: $748.46 million — #124 most out of 182 cities
> Median household income: $90,953 — #12 highest out of 182 cities
3. Pembroke Pines, Florida
> Household credit card debt pay down: -$3,505
> Avg. household credit card debt: $14,163 — #8 out of 182 cities
> Total credit card debt: $811.86 million — #112 most out of 182 cities
> Median household income: $68,745 — #41 highest out of 182 cities
2. Burlington, Vermont
> Household credit card debt pay down: -$4,541
> Avg. household credit card debt: $9,761 — #123 out of 182 cities
> Total credit card debt: $161.57 million — #179 most out of 182 cities
> Median household income: $51,394 — #121 highest out of 182 cities
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1. Santa Clarita, California
> Household credit card debt pay down: -$4,715
> Avg. household credit card debt: $14,995 — #5 out of 182 cities
> Total credit card debt: $1.04 billion — #81 most out of 182 cities
> Median household income: $99,666 — #7 highest out of 182 cities
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Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.
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