Minnesota Debt Statistics


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

minnesota

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

☰ Use “CTRL+F” to quickly find statistics. There are total 21 Minnesota Debt Statistics on this page 🙂

Minnesota Debt “Latest” Statistics

  • According to Self, a cost of living that is 25% lower than the national average is one factor that undoubtedly helps Minnesotans in keeping their debt under control.[1]
  • According to the OHE, bachelor’s degree alumni from Saint John’s University who borrow have a tendency to graduate with more debt than graduates from Minnesota’s institutions as a whole, with a median debt of $31,800.[2]
  • According to Education Data Initiative, Minnesota has a student loan debt of $26.5 billion and the average student loan debt is $33,604.[3]
  • In the 10 years between 2007 and 2017, Minnesota’s average debt per borrower climbed by more than 31%.[1]
  • The projected total debt in Minnesota is $155.6 million dollars, with 53,000 families owing an average of $2,900 each.[4]
  • Less than 10% of defendants in debt collection actions from 2010 to 2019 had legal representation, compared to virtually all plaintiffs, according to research on the cases from 2010 to 2019.[5]
  • According to MinnPost, 86% of 2017 bachelor’s degree graduates from for-profit institutions in the OHE dataset had student debt, which was a higher percentage than that of graduates from other kinds of schools.[2]
  • According to the 2022 Graduation Questionnaire survey by the Association of American Medical Colleges, medical students who graduated in 2022 had a median debt of $200,000.[6]
  • 70% of private non-profit bachelor’s degree grads graduated from college in debt.[2]
  • In the last ten years, courts have settled more than 70% of debt collection cases with default judgments in favor of the plaintiff.[5]

Minnesota Debt “Household” Statistics

  • According to census data, Minnesota’s median household income is close to $68,000 compared to the national median of $60,000.[2]
  • According to Self, the difference between household debt in Minnesota and the national average was more than $6,000 in 2003.[1]
  • United States household debt reached $16,505 billion in September 2022, compared with the reported number of $16,154 billion in the previous quarter.[7]
  • As of 2019, Minnesota ranked 14th in average total household debt at $55,380 per household.[1]
  • According to the Federal Reserve System, the median household debt-to-income ratio in Minnesota during the second quarter of 2020 stood at 1.41 to 1.51, which is below the national average of 1.51.[8]

Minnesota Debt “Other” Statistics

  • According to the Minnesota Multi Housing Association’s most recent study, rent costs in Minnesota were 95% for the best apartments and 86% for what is regarded as naturally affordable housing.[4]
  • 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.[5]
  • According to US News, at University of Minnesota, Twin Cities, the median federal loan debt among borrowers who completed their undergraduate degree is $19,500.[9]
  • 9% of graduating students at University of Minnesota, Twin Cities took out private loans and students with private loans had an average of $30,181 at graduation.[9]
  • According to Minnesota Chamber of Commerce, loans are up to $50,000 to help small businesses and certain not-for-profit childcare centers start up and expand. The average microloan is about $13,000.[10]
  • The Department of Education has approved approximately $16 billion in loan discharges for more than 680,000 borrowers.[11]

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How Useful is Minnesota Debt

One argument in favor of Minnesota debt is that it allows the state to invest in much-needed projects that can have long-term benefits for its residents. For example, borrowing money for road repairs and other infrastructure improvements can help create jobs, improve public safety, and stimulate economic growth. Similarly, student loans and funding for education can open up opportunities for individuals to access higher education and increase their earning potential. In these cases, debt can be seen as an investment in the state’s future prosperity.

On the other hand, opponents of Minnesota debt argue that excessive borrowing can lead to financial instability and burden future generations with high levels of debt. Rising interest payments can eat into the state budget, potentially crowding out spending on other essential public services. Additionally, if debt levels become too high, it could harm the state’s credit rating, making it more expensive to borrow money in the future.

It is important to strike a balance between using debt responsibly to fund necessary projects and being mindful of the long-term consequences of accumulating too much debt. In some cases, taking on debt may be necessary in the short term to address pressing needs or take advantage of favorable borrowing conditions. However, policymakers should also consider ways to manage debt levels and ensure that investments are made wisely to generate positive returns for the state and its residents.

Furthermore, accountability and transparency are essential when it comes to managing Minnesota debt. Citizens have a right to know how their tax dollars are being spent and the implications of the state’s borrowing decisions. Open dialogue and public engagement on the topic of debt can help build trust and ensure that decisions are made in the best interest of the state as a whole.

Ultimately, the usefulness of Minnesota debt depends on how it is managed and the decisions that are made around its use. Debt can be a valuable tool for financing important projects and investments that benefit the state and its residents. However, it is critical to weigh the benefits against the risks and ensure that the state’s financial health is not jeopardized in the process.

As Minnesota continues to navigate its economic challenges and pursue growth opportunities, a thoughtful and strategic approach to managing debt will be essential. By addressing both the short-term needs and long-term implications of borrowing, the state can make informed decisions that support its economic vitality and overall well-being.

Reference


  1. self – https://www.self.inc/info/average-credit-score-and-debt-minnesota/
  2. minnpost – https://www.minnpost.com/education/2019/05/how-bad-is-minnesotas-student-debt-situation/
  3. educationdata – https://educationdata.org/student-loan-debt-by-state
  4. minnpost – https://www.minnpost.com/state-government/2021/05/new-data-tool-estimates-53000-households-in-minnesota-behind-on-rent/
  5. pewtrusts – https://www.pewtrusts.org/en/research-and-analysis/reports/2020/05/how-debt-collectors-are-transforming-the-business-of-state-courts
  6. umn – https://med.umn.edu/md-students/financial-aid/resources-managing-debt/average-debt
  7. ceicdata – https://www.ceicdata.com/en/indicator/united-states/household-debt
  8. thecentersquare – https://www.thecentersquare.com/minnesota/debt-to-income-ratio-of-minnesota-households-averaged-up-to-1-51-in-q2/article_a12a83e8-4581-11eb-bf0c-7f6542cc18e8.html
  9. usnews – https://www.usnews.com/best-colleges/university-of-minnesota-twin-cities-3969/paying
  10. mnchamber – https://www.mnchamber.com/economic-development-resources
  11. ed – https://www.ed.gov/news/press-releases/education-department-approves-415-million-borrower-defense-claims-including-former-devry-university-students

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