Delaware Resident Debt Relief

Delaware prides itself as the first state to ratify the U.S. Constitution. It hasn’t, however, led the way out of the pandemic induced financial doldrums. But that doesn’t make it much different from its neighbors.

The state’s largest economic engine is finance and insurance, and it also relies on chemical manufacturing. DuPont, an international chemical manufacturing giant, is based there.

Like much of the Northeast, Delaware’s August 2021 unemployment rate (5.4%) slightly lags the national average (5.2%), though it is better than that of its adjacent neighbors: Maryland (5.9%), New Jersey (7.2%) and Pennsylvania (6.4%).

Delaware ranks 23^rd nationally in employment growth, but its GDP only grew an annualized 2.8% from the first to second quarter of 2021, ahead of only Alaska (1.8%) and Wyoming (2.3%) nationally.

Delaware has recovered 77% of the jobs it lost in the pandemic, slightly ahead of the national average (76%).

So, plenty of people in the state are still hurt by the turmoil of 2020. Fortunately, there are several private and governmental agencies that can help Delaware residents needing help.

Debt Relief Options for Delaware Residents

InCharge Debt Solutions and its debt management program offer an alternative for those struggling financially. The certified credit counselors at InCharge work with creditors to lower interest rates, consolidate credit card debt and create a personalized payment plan that you can afford.

Consumers paid an average of 16.5% interest rates on credit cards in 2021. Those who get behind on their monthly card bills can see those rates jump to 25% or more. InCharge works with credit card companies to lower those rates to about 8%, sometimes less.

The goal is to help customers wipe out their credit card debt in 3-5 years. However, clients must stick to a detailed spending budget — and follow it religiously — to do away with debt on schedule.

InCharge takes your monthly payments and distributes them to credit card companies in agreed upon amounts. It’s a user-friendly and hassle-free plan that consumers can enroll into by phone or online.

Credit scores are not a factor in enrolling. Even consumers with low credit scores can qualify for debt-management plans.

Here are other assistance programs available to Delaware residents facing financial problems:

Delaware Debt Resources

Delaware residents struggling financially have several federal and state assistance programs to help them. Here are some of the services that are offered to those needing food, shelter, childcare, legal aid and other basic necessities:

• General Assistance is a state-funded program providing cash assistance to low-income people who don’t qualify for federally funded programs or Social Security benefits.
• Temporary Assistance for Needy Families is Delaware’s main cash assistance program, giving people temporary help until they can get a job.
• Community Resource and Assistance Services provides for critical needs for financial assistance with utilities, rent, shelter, etc. by bringing together resources available from faith-based and non-profit organizations.
• Emergency assistance services provide funds for utilities, rent, shelter, and other critical needs for eligible low-income persons and families.
• Low-Income Home Energy Assistance helps with paying the costs of home heating and cooling is provided for eligible low-income individuals and families.
• WIC (Women, Infants, and Children) provides nutrition education and supplemental food vouchers to eligible infants, children, pregnant women and recently delivered women.
• Child Care Services provides support for families with children to enable the caretaker to hold a job, obtain training or meet special needs of the parent or child. Childcare may also be provided in child abuse cases to help protect the child
• Delaware Healthy Children Program is a low cost health insurance program for Delaware’s uninsured children. The Delaware Healthy Children Program features the same high-quality coverage you’d get with some of the best private insurance plans.

Delaware Debt Statistics

A snapshot of the debt that Delaware residents are carrying in 2021:

Credit card debt: The average Delaware resident owes $5,462 on credit cards, 12^th highest in the country. But that’s lower than neighboring Maryland (No. 4, $5,977) and New Jersey (No. 5, $5,978).

Mortgage debt: Delawareans owed an average of $190,846 on their mortgages in 2019, up 2.9% since 2010 and the 18^th highest in the country.

Auto loan debt: The average car debt in Delaware is $18,800, 31^st highest nationally.

Student loan debt: Delaware has the fourth highest average student loan debt ($37,447).

Credit score: With an average FICO score of 710, Delaware was 17^th lowest nationally in 2020. But 710 is nine points higher than in 2010.

Identity theft: Delaware had the 13^th highest number of identity theft reports per 100,000 people (449).

Bankruptcy and foreclosures: With one in every 5,348 homes going into foreclosure, Delaware had the fourth highest foreclosure rate; neighboring New Jersey ranked third. The good news is that in the past year, the state had the biggest decrease in bankruptcy filings (-1.57%).