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

One of the main arguments in favor of Alabama debt is that it can enable the state to make necessary investments in infrastructure, education, and healthcare. By borrowing money, Alabama can finance these projects without having to raise taxes or cut essential services. This can help stimulate economic growth, create jobs, and improve overall quality of life for residents.

Furthermore, supporters of Alabama debt argue that borrowing money can be a prudent financial decision when interest rates are low. By taking advantage of favorable borrowing conditions, the state can fund projects at a lower cost than if they were to wait until interest rates rise. In this way, debt can actually save money in the long run and help the state build a stronger and more prosperous future.

On the other hand, opponents of Alabama debt raise valid concerns about the risks and burdens associated with piling up debt. One of the main worries is that excessive debt levels can lead to financial instability and put the state at risk of defaulting on its obligations. This could result in higher interest rates, reduced access to credit, and overall economic downturns that can have lasting impacts on residents and businesses.

Moreover, critics of Alabama debt point out that borrowing money is not a sustainable solution to long-term financial challenges. While debt can provide a temporary influx of cash, it ultimately needs to be repaid with interest, putting a strain on future budgets and limiting the state’s ability to address future needs. This can lead to a cycle of debt accumulation that becomes increasingly difficult to break free from, resulting in a downward spiral of financial hardship and economic stagnation.

Ultimately, the usefulness of Alabama debt depends on how it is managed and used. If debt is carefully planned and invested in projects that provide long-term benefits to the state and its residents, it can be a valuable tool for promoting economic growth and prosperity. However, if debt is accrued haphazardly and without a clear plan for repayment, it can quickly become a burden that stifles progress and limits opportunities for future generations.

In light of these considerations, it is crucial for Alabama policymakers to carefully weigh the costs and benefits of borrowing money and to exercise prudence and foresight in their financial decisions. By taking a thoughtful and strategic approach to managing debt, Alabama can ensure that it remains on a stable and sustainable financial path that benefits all residents and enhances overall well-being.

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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