Californians are struggling to pay their credit card bills

Several California cities are leading the United States with residents facing a rise in credit card delinquencies.

A new report from WalletHub found that Chula Vista, a suburb of San Diego , has seen the greatest increase in residents struggling to pay their credit card bills , with an 85% rise in credit card delinquencies in the first quarter of 2024 when compared to the same time period one year ago.

“One reason why Chula Vista’s delinquency rate is increasing so much is that its residents are simply borrowing more,” the report stated. “Residents of Chula Vista added the sixth-most credit card debt over the past year, along with the second-highest overall balance. Consequently, many people find it hard to pay their bills.”

San Francisco ranked fourth among U.S. cities with an 84% increase. Other California cities, including Irvine, Santa Ana, and Long Beach, also saw significant increases in credit card delinquencies, placing them among the nation’s top 25 cities with people struggling to pay their credit card bills.

Madison, Wisconsin, saw the nation’s second-highest increase in credit card delinquency despite showing a “relatively low amount of credit card debt a low year-over-year increase compared to most other major cities,” the report noted.

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Garland, Texas, and Lincoln, Nebraska, also experienced a remarkable rise in credit card delinquency, rounding out the report’s leading five cities.

WalletHub’s report compared the 100 largest cities with available data on consumer delinquency rates between the first quarter of 2023 and that of 2024.