Alabama Debt Statistics


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Alabama Debt Statistics 2023: Facts about Debt in Alabama reflect the current socio-economic condition of the state.

alabama

LLCBuddy editorial team did hours of research, collected all important statistics on Alabama Debt, and shared those on this page. Our editorial team proofread these to make the data as accurate as possible. We believe you don’t need to check any other resources on the web for the same. You should get everything here only 🙂

Are you planning to start an Alabama LLC business in 2023? Maybe for educational purposes, business research, or personal curiosity, whatever it is – it’s always a good idea to gather more information.

How much of an impact will Alabama Debt Statistics have on your day-to-day? or the day-to-day of your LLC Business? How much does it matter directly or indirectly? You should get answers to all your questions here.

Please read the page carefully and don’t miss any word.

Top Alabama Debt Statistics 2023

☰ Use “CTRL+F” to quickly find statistics. There are total 19 Alabama Debt Statistics on this page 🙂

Alabama “Latest” Debt Statistics

  • At University of Alabama, the median federal loan debt among borrowers who completed their undergraduate degree is $23,072.[1]
  • According to The Urban Institute, 13% of Americans, over 43 million people had medical debt in collections in 2011. That number is higher in communities of color, at 15%.[2]
  • According to Fool, in 2022, 16% of Alabama population has a collection of medical debt with a median value of $851 dollars.[2]
  • Less than 10% of defendants in debt collection actions from 2010 to 2019 had legal representation, compared to virtually all plaintiffs.[3]
  • Over twice the 2.7% growth from 2019 to 2020, total consumer debt balances climbed by 5.4% from 2020 to 2021 to reach $15.31 trillion, an increase of $772 billion.[4]
  • In the last ten years, courts have settled more than 70% of debt collection cases with default judgments in favor of the plaintiff.[3]
  • Alabama, Arkansas, Georgia, Idaho, Kansas, Kentucky, Louisiana, Maryland, Michigan, Mississippi, Montana, Ohio, Utah, and Wyoming offer no protections beyond the federal minimum.[3]
  • Ninety seven of all chapter 7 bankruptcies and ninety nine of all chapter 13 bankruptcies were nonbusiness filings, or those primarily involving consumer debt.[5]
  • Alabama’s average federal student loan debt exceeds the national average with a $23.5 billion in federal student loan debt.[6]
  • NCSC found that across all state courts, 64% of 16.9 million civil cases are contract disputes and that contract caseloads consisted primarily of debt collection (37%), landlord-tenant (29%), and foreclosure (17%) cases.[3]
  • In the fourth quarter of 2021, 4% of all auto debt balances in the country were over 90 days delinquent.[7]
  • Studies have indicated that default judgements are obtained in more than 70% of debt instances.[3]
  • According to Experian, average total consumer debt in 2021 was $96,371. That’s up nearly 4% from 2020, when average total consumer debt was $92,727.[2]
  • According to the Institute For College Access & Success, Alabama has an average debt of $30,966.[8]
  • According to a recent data from a joint advocacy effort, Alabama, Louisiana and Florida are among the states with the highest shares of households with rent debt, providing just a snapshot of the more than 5.7 million households that are behind on payments nationally and owing nearly $20 billion total.[9]

Alabama “Other” Debt Statistics

  • Pew researchers calculated that debt collection lawsuits represented approximately 24% of the civil caseload (0.37 × 0.64 = 0.236), or 3.98 million cases (16.9 million × .236), which is higher than the other aggregated case types.[3]
  • Alabama, Louisiana, Florida, Alaska and Georgia have the highest shares of renters with debt, each at 20% or more.[9]
  • In the 2021 Comprehensive Taxpayer Attitude Survey (CTAS), 88% said it is not at all acceptable to cheat on their income taxes, and nearly all (93%) believe it is a civic duty to pay their fair share of taxes.[10]
  • The NCSC found that attorney representation among defendants declined dramatically across all civil cases from 1992 to 2013, falling from 97% to 46% in general jurisdiction cases over that span.[3]

Also Read

How Useful is Alabama Debt

Debt can serve as a useful means of accessing funds for important investments such as education, buying a home, or starting a business, and this holds true for Alabama Debt as well. Whether it be for infrastructure projects, public services, or other expenditures, borrowing money through debt can allow the state to address immediate needs and invest in its future growth and development.

However, the utility of Alabama Debt must be carefully assessed. On one hand, debt can provide essential resources that the state may not have access to through other means. By borrowing funds, Alabama can fund critical projects that benefit its residents and support economic growth. For example, investing in infrastructure can create jobs, improve public services, and enhance the overall quality of life for its citizens.

On the other hand, accumulating too much debt can lead to financial instability and limit the state’s flexibility in the future. Just like individuals or businesses, states must weigh the costs and benefits of taking on debt. The burden of servicing debt payments can divert funds from other vital areas such as healthcare, education, or public safety. If Alabama becomes too reliant on debt to fund its operations, it may face challenges in the long run – potentially leading to increased taxes, budget cuts, or reduced public services.

Moreover, the type of debt that Alabama incurs matters as well. Different forms of debt come with different terms and conditions, affecting the overall cost and risk associated with borrowing. When used wisely, low-cost debt can be a strategic financial tool that allows the state to make prudent investments and generate long-term value. However, high-interest debt or loans with unfavorable repayment terms can strain the state’s finances and limit its ability to achieve its goals.

In assessing the usefulness of Alabama Debt, it is crucial to consider not only the present circumstances but also the future implications. Responsible borrowing practices and sound financial management are essential to ensuring that debt serves as a strategic asset rather than a burden. By carefully evaluating the costs and benefits of borrowing, Alabama can make informed decisions that support its growth and prosperity while safeguarding its fiscal health.

In conclusion, while Alabama Debt can be a valuable resource for funding necessary projects and investments, its utility ultimately depends on how it is used. Strategic, well-managed debt can contribute to the state’s development and well-being. However, excessive or mismanaged debt can have detrimental effects on Alabama’s finances and overall stability. It is crucial for policymakers and stakeholders to exercise prudence and foresight in utilizing debt to ensure that it remains a useful tool in advancing the state’s interests.

Reference

  1. usnews – https://www.usnews.com/best-colleges/university-of-alabama-1051/paying
  2. fool – https://www.fool.com/the-ascent/research/average-american-household-debt/
  3. pewtrusts – https://www.pewtrusts.org/en/research-and-analysis/reports/2020/05/how-debt-collectors-are-transforming-the-business-of-state-courts
  4. experian – https://www.experian.com/blogs/ask-experian/research/consumer-debt-study/
  5. uscourts – https://www.uscourts.gov/news/2018/03/07/just-facts-consumer-bankruptcy-filings-2006-2017
  6. educationdata – https://educationdata.org/student-loan-debt-by-state
  7. selmasun – https://selmasun.com/news/state/see-the-average-auto-loan-balance-per-capita-in-alabama/collection_31084d4b-05bf-5404-9233-05a842626145.html
  8. ticas – https://ticas.org/interactive-map/
  9. usnews – https://www.usnews.com/news/best-states/articles/2021-05-17/data-shows-us-households-are-nearly-20-billion-in-debt-on-rent
  10. irs – https://www.irs.gov/statistics/soi-tax-stats-irs-data-book

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