Massachusetts Debt Statistics


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

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LLCBuddy editorial team did hours of research, collected all important statistics on Massachusetts 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 a Massachusetts 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 Massachusetts 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 Massachusetts Debt Statistics 2023

☰ Use “CTRL+F” to quickly find statistics. There are total 35 Massachusetts Debt Statistics on this page 🙂

Massachusetts Debt “Latest” Statistics

  • According to Forbes, the average student loan debt at for-profit colleges is $39,950, which is 26% higher today than it was in 2008.[1]
  • According to Forbes, the average student loan debt at public colleges is $25,550, which is 25% higher today than it was in 2008.[1]
  • According to the Institute of College Access and Success, the Massachusetts people has an average debt of $33,457 with a percentage of 56%.[2]
  • 75% of borrowers who graduated from private non-profit colleges have student loan debt.[1]
  • 22% of white college graduates and 40% of black grads have student loan debt from graduate school.[3]
  • The biggest increases in debt were seen in student loans (12%), mortgages (7%) and personal loans (6%).[3]
  • According to the National Center for Education Studies, women are responsible for 58% of all student loan debt.[3]
  • Americans in the top 10% by income have a median of $222,200 in debt, whereas those in the bottom 25% have less than $20,900.[3]
  • High school graduates only carry an average of $4,600, according to data from the Federal Reserve, the Consumer Financial Protection Bureau and Experian.[3]
  • According to the Department of Education, 34% of total debt was owed by those aged 18 to 29.[3]
  • According to NBER, bigger enterprises would finance an extra 8% of their assets with debt compared to smaller firms because of the disparity between the corporate tax rates that the biggest and smallest firms now pay, which are 35% and 15%, respectively.[4]
  • Compared to the national average, MIT’s undergraduate graduation rate is eight out of ten with no debt.[5]
  • Blacks have an average $52,000 in student loan debt in 2021, according to studies compiled by Educationdata.org.[3]
  • In 2018, 65% of seniors who attended public and private non-profit universities and graduated had student loan debt.[1]
  • Only 15% of the Class of 2022 graduated with debt with an average debt of $25,080, 13.8% less than the national average.[5]
  • Massachusetts has a low-average student debt and a very high rate of borrowers under 35.[6]
  • In Massachusetts, $30.8 billion in student loan debt belongs to state residents and the average student loan debt is $34,146.[6]
  • 88% of borrowers who attended for profit universities and graduated with debt had student loans.[1]
  • Only four states—Texas, Minnesota, Massachusetts’s, and New Jersey—awarded only 14% of bachelor’s degrees to 2016 graduates, four out of five of whom had student loan debt.[1]
  • From 2020 to 2021, total consumer debt balances climbed by 54%, or $772 billion, to reach $15.31 trillion, more than double the 27% growth that occurred from 2019 to 2020.[7]
  • According to a Brookings Institution survey, 6% of borrowers have student loan debt over $100,000, with 2% having debt exceeding $200,000.[3]
  • According to the Institute for College Access and Success, the average student loan debt for students of the class of 2018 is $29,200, an increase of 2% over the previous year.[1]
  • American household debt hit a record $14.6 trillion in the spring of 2021, according to the Federal Reserve.[3]
  • Massachusetts has the nation’s sixth-largest average mortgage debt at $261,345, a figure that has doubled since 2007 ($126,332).[3]

Massachusetts Debt “Household” Statistics

  • 40% of households hold just under 20% of the outstanding debt and make only 10% of the payments.[8]
  • In 2019, the new Fed data show, households with graduate degrees owed 56% of the outstanding education debt, an increase from 49% in 2016.[8]
  • The average credit card balance for white families was $6,940 in 2021, according to the Value Penguin study.[3]
  • Total household debt rose by $351 billion, or 2.2%, to reach $16.51 trillion in the third quarter of 2022, according to the latest Quarterly Report on Household Debt and Credit.[9]

Massachusetts Debt “House” Statistics

  • According to the federal reserve, American household debt reached a record high of $14.6 trillion in the spring of 2021.[3]

Massachusetts Debt “Other” Statistics

  • Based on the most recent data by Student Financial Services, college graduates who borrowed owed an average of $29,100 in loans at graduation.[5]
  • Debt collection lawsuits occupied an increasing percentage of civil dockets from an estimated 1 in 9 civil cases to 1 in 4 from 1993 to 2013, more than doubling from less than 1.7 million to nearly 4 million.[10]
  • According to Forbes, 47% of those who took out private loans for education borrowed less than they would have under the government Stafford loan program.[1]
  • According to New Era Debt Solutions, consumers in Massachusetts carry an average credit card debt of around $5,100, just under the national average of $5,200.[11]
  • New Era Debt Solutions have settled more than $250,000,000 in debt and worked with thousands of clients from across the United States.[11]
  • According to Prison Policy, at least $27.6 billion of criminal justice debt is owed across the nation.[11]

Also Read

How Useful is Massachusetts Debt

Debt can be a powerful tool when used wisely. It can allow the state to invest in critical infrastructure projects that improve the quality of life for its residents. These projects can include building new roads and bridges, updating public transportation systems, or constructing schools and hospitals. These investments can spur economic growth, create jobs, and ultimately benefit the community as a whole.

Debt can also be used to fund important social programs that support vulnerable populations in the state. This includes programs like healthcare, education, affordable housing, and other services that help to address social disparities. Without debt financing, many of these programs would not be possible, leaving those in need without critical support.

Furthermore, in times of crisis, such as natural disasters or economic downturns, debt can provide a lifeline for the state to weather the storm. By having access to borrowed funds, Massachusetts can respond quickly to emergencies, support recovery efforts, and keep essential services running during times of need.

However, debt can also be a burden if not managed responsibly. High levels of debt can lead to increased borrowing costs, budget constraints, and limited flexibility in times of need. Excessive debt can also lead to credit downgrades, affecting the state’s ability to borrow in the future and potentially harming its financial standing.

Therefore, it is essential that Massachusetts carefully considers the implications of taking on debt and develops a comprehensive strategy for managing and reducing its debt burden over time. This includes prioritizing investments that offer the greatest long-term benefits to the state, implementing sound financial practices, and regularly reassessing the state’s debt portfolio to ensure it remains sustainable.

Ultimately, the usefulness of Massachusetts debt depends on how it is utilized and managed. When used wisely, debt can be a powerful tool for building a stronger, more resilient state that better serves its residents. However, reckless borrowing without a clear plan for repayment can lead to unnecessary financial risks and hardships for both the state and its residents.

In conclusion, debt is a necessary financial tool for states like Massachusetts to fund critical investments, provide essential services, and respond to emergencies. By employing sound financial practices and carefully managing its debt burden, Massachusetts can leverage debt to benefit its residents and build a stronger, more prosperous future for the state as a whole.

Reference

  1. forbes – https://www.forbes.com/sites/zackfriedman/2020/02/03/student-loan-debt-statistics/
  2. ticas – https://ticas.org/interactive-map/
  3. debt – https://www.debt.org/faqs/americans-in-debt/demographics/
  4. nber – https://www.nber.org/papers/w7433
  5. mit – https://sfs.mit.edu/undergraduate-students/the-cost-of-attendance/making-mit-affordable/
  6. educationdata – https://educationdata.org/student-loan-debt-by-state
  7. experian – https://www.experian.com/blogs/ask-experian/research/consumer-debt-study/
  8. brookings – https://www.brookings.edu/blog/up-front/2020/10/09/who-owes-the-most-in-student-loans-new-data-from-the-fed/
  9. newyorkfed – https://www.newyorkfed.org/microeconomics/hhdc/background.html
  10. pewtrusts – https://www.pewtrusts.org/en/research-and-analysis/reports/2020/05/how-debt-collectors-are-transforming-the-business-of-state-courts
  11. neweradebtsolutions – https://neweradebtsolutions.com/debt-settlement-massachusetts/

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