Credit card delinquencies are rising fastest in these states; what to do about the debt

Coming off an election where pocketbook issues were front and center, the fact that a growing number of American households are having trouble keeping up on debt payments likely comes as no surprise. A new study bears that out, as researchers looking into how fast credit card delinquencies are rising found that they are increasing in every single state.

By the numbers:

In determining where delinquencies are going up the quickest, WalletHub researchers looked at the rates over the first and second quarters of 2026 and compared them to each other. In no state was the delinquency rate below 20% and in the state where the rate was the highest in Q2 2026, Mississippi, more than half of the credit cards (51.61%) were delinquent.

The biggest jump by percentage in delinquencies was in Vermont, which has the third-lowest overall share of delinquencies in the country. WalletHub also noted that the Green Mountain State ranks 10th among states adding the most new debt.

The backstory:

WalletHub indicated its numbers were based on its proprietary user data on consumer delinquency, but the company did not go into further detail about the data.

What they're saying:

WalletHub analyst Chip Lupo warned about how long-term credit card delinquency can take a serious toll on a person’s credit score. He advised catching up quickly and pointed out how important that can be in the first month.

"The good news is that if you manage to get current before 30 days have passed, your delinquency will not be reported to the credit bureaus," Lupo continued. "If you’ve been delinquent for a significant period of time, there are other strategies you can pursue in order to get back on track, such as hardship programs, strategic budgeting, and consolidating debt."

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Getting back on track

The Federal Trade Commission offered tips for what a person who fell far behind on their credit card debt can do to get caught up. The agency echoes that not making at least the minimum payment can damage an individual’s credit score. Not doing so for four to six months could result in a creditor taking a "charge-off" on what someone owes, recording it as a loss. 

What you can do:

The FTC advises people who have fallen behind to reach out to their creditors and notes that a person can do it on their own, without needing to bring in a third-party company. 

When calling, a person should ask about negotiating a lower interest rate and suggest a payment plan that they can afford. Also, take notes on what was discussed and what to do next, then have the creditor provide a written version of the agreement in writing. 

The Source: Information for this article was taken from WalletHub and the Federal Trade Commission. This story was reported from Orlando, Florida.