Florida named best state for paying credit card debt as shoppers buy last-minute gifts: WalletHub study

TAMPA, Fla. - Less than 48 hours away from Christmas Day, several stores across Tampa were packed with people trying to finish off their gift lists.

What they're saying:

Parking lots were crowded at the Target and Walmart on Dale Mabry Highway, where shoppers pushed carts filled with presents and gifts.

Tara Baik was shopping at Target, rushing to find stocking stuffers for her three children. She says budgeting during the holiday season can be difficult.

"It’s impossible to stay in a tight budget around the holidays," Baik said. "Everything’s more expensive than you think it is going to be."

Outside of Walmart, Monica Petrella was checking off a few final items on her shopping list. She explained how she avoids spending sprees this time of year.

"It’s hard just because there’s so many impulses and fun things," Petrella said. "Ultimately, we don’t want a lot of extra stuff. We’re also disciplined in our shopping the rest of the year."

By the numbers:

Despite the seasonal surge in spending, a recent WalletHub study found that Florida has the lowest percentage of credit card delinquency in the United States.

The personal finance company analyzed data from April through June and found Florida’s delinquency rate at about 14%, the lowest in the nation.

Holiday spending is expected to reach record highs this year. The National Retail Federation projects U.S. holiday sales will surpass $1 trillion for the first time ever.

Lending Tree found 37% of Americans racked up holiday debt this year, with an average of twelve-hundred dollars. 

Big picture view:

David McNatt, visiting from San Francisco with his two children, Jack and Grace, says his family plans ahead for a more expensive December.

"We know our credit card bill will be a little bit bigger in December, so we plan for that," he said. "We usually cut back a little bit in the first quarter of the year."

Nevertheless, McNatt says extra spending is worth it for family time.

"We’ll plan for a nice time with family, gifts, and it’s an important time of year," he said. "It’s worth the extra expenditure."

What you can do:

To avoid taking hits on your credit report: 

• Don't pay the minimum every month, pay some of the interest.
• Make sure you pay your bill on time.
• Make a plan if you can't pay, just call your creditors and get on a payment plan.