Description of the Indicator
This indicator identifies the percentage of the population with subprime – or relatively low – credit. Therefore, it is unlikely that these individuals will qualify for the best interest rates available for any financing they need.
Why is it important?
This is an important measure because it indicates the size of the population that may have a high debt burden. Relatively large portions of income must be allocated to debt instead of other living expenses. This places individuals at risk of defaulting if a family emergency or income instability arises. It may affect poverty rates and the necessity for social support.
How is the region performing?
About one in four people in Lackawanna and Luzerne Counties fall into this population. The share is approximately one in five for Wayne County. Nationally, the share is about 30.0 percent. Millennials are more likely to struggle with subprime credit than their Baby Boomer parents.