PHOENIX — While there was a surge of local spending during the pandemic, a good portion of that appears to be on credit.
A new study issued by WalletHub shows that, in the first year of the pandemic, consumers actually reduced their debt, with credit card debt dropping $82.1 billion. However, those savings were wiped out in 2021, when credit card debit climbed $86.2 billion.
2022 started fine, with debt dropping $12.5 billion in the first quarter of the year, but second quarter saw credit card debt increasing a whopping $67.2 billion and consumers added another $39.6 billion in the third quarter.
Based on the debt load, it will take the average Tucson resident 5 years, 6 months and 7 days to pay off their debt, making Tucson the 17th worst city in the nation with unsustainable credit card debt. Phoenix ranks 55th, needing 4 years, 7 months and 9 days for the average person to pay off the debt.
Freemont, Calif., has the most sustainable credit card debt load, needing 18 months and 18 days to pay off, while San Francisco is second at 23 months and 23 days for pay off.
