Debt Consolidation in Action: California

See how your neighbors are using credit counseling to overcome debt.

There’s no shortage of challenges that Californians face that often have a financial impact in residents’ everyday lives. From state itself skirting bankruptcy during the Great Recession to current water shortages that are impacting people’s livelihoods in industries like agriculture, sometimes it seems like adversity is everywhere. Still, by and large, Californians are facing these challenges head-on and overcoming issues with debt in spite of an often uphill battle.

The information below can help you understand how debt is impacting you and your neighbors in California. We also show you how some of your fellow Californians have successfully used credit counseling to overcome issues with credit cards and other unsecured debts. If you’re working to get ahead, call us at or complete an online application to request a free confidential debt evaluation from a certified credit counselor.

Debt statistics in California

The following statistics can help you understand the state of debt today in California. Overcoming challenges like these is key to achieving financial success.

  • Average credit card debt: $4,937 per borrower[1]
  • 90-day credit card delinquency rate: 1.33%
  • Average student debt: $20,340
  • Student loan default rate: 12.70%
  • % of homes underwater (mortgage more than value): 10.99%
  • Mortgage delinquency rate for underwater homes: 4.80%
  • Average debt in collections: $5,456

[1] http://www.washingtonpost.com/blogs/govbeat/wp/2013/08/20/ranking-the-states-credit-card-debt/

All other statistics are brought to you by America’s Voice on Debt (AVOD)

Denise from Valencia, CA

I consolidated my credit cards so fast and efficiently with this program. Consolidated Credit made it all so easy!

Where she started:

  • Total unsecured debt: $17,196.00
  • Estimated interest charges: $9,052.90
  • Time to payoff: 10 years, 4 months
  • Total monthly payments: $687.84

After DMP enrollment:

  • Average negotiated interest rate: 8.56%
  • Total interest charges: $2,557.55
  • Time to payoff: 3 years, 8 months
  • Total monthly payment: $451.00
Time Saved:
6 years, 8 months
Monthly Savings:
$236.84
Interest Saved:
$6.495.35
Eric from Whitier, CA

I’m very satisfied with the service. The payments are always made on time and the APR reduced significantly!

Where he started:

  • Total unsecured debt: $10,525.00
  • Estimated interest charges: $6,188.51
  • Time to payoff: 13 years, 8 months
  • Total monthly payments: $421.00

After DMP enrollment:

  • Average negotiated interest rate: 2.00%
  • Total interest charges: $542.18
  • Time to payoff: 5 years
  • Total monthly payment: $185.00
Time Saved:
8 years, 8 months
Monthly Savings:
$236.00
Interest Saved:
$5,646.33
Maria from San Mateo, CA

I’m very happy with these services – it’s quick and easy to setup. The counselors are very professional and make it comfortable to transition into this program.

Where she started:

  • Total unsecured debt: $74,451.00
  • Estimated interest charges: $43,657.83
  • Time to payoff: 18 years, 8 months
  • Total monthly payments: $2,978.04

After DMP enrollment:

  • Average negotiated interest rate: 7.96%
  • Total interest charges: $18,090.40
  • Time to payoff: 5 years
  • Total monthly payment: $1,539.00
Time Saved:
13 years, 8 months
Monthly Savings:
$1,439.04
Interest Saved:
$25,567.43