Government Issues Report About Consumers in Appalachia
The Consumer Financial Protection Bureau (the Bureau) recently released a report on the financial wellbeing of consumers in Appalachia. The Bureau found that residents of Appalachia had lower incomes than other rural populations and significantly lower incomes than urban residents. As a result, Appalachian consumers’ financial well-being tends to be more precarious than other consumer groups across the US. The Bureau found that Appalachian consumers generally had lower credit scores, thus paying more for credit, as well as a higher median ration of auto- and student-loan balances to household income than the national average. Appalachian consumers were also more likely to experience a denial on a mortgage application than other rural consumers. The report noted that residents of Appalachia were more reliant on manufactured housing loans, though this is unsurprising as there is a significantly higher incidence of manufactured homes across rural America in general and Appalachia in particular. The key finding from the Bureau’s report centered on the overall financial disparities experienced by residents of Appalachia and how they manifest across a range of financial services, particularly those that are debt-accruing.
To read the full report, click here.