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USA Today
2 hours ago
- Business
- USA Today
Way to go, Des Moines! The 10 most 'financially responsible' cities across America
A group of midwestern cities, including Des Moines, Iowa, Madison, Wisconsin, and Minneapolis, rank among the most 'financially responsible' in the nation, according to a new report. Minneapolis has a strikingly low share of consumers with maxed-out credit cards. Madisonians use an admirably low quotient of their available credit. Des Moines residents don't spend too much of their income on housing. LendingTree, the personal finance site, ranked the 100 largest metropolitan areas on five metrics of financial health, focusing on the ideal of living within one's means. The July 7 report draws from Federal Reserve and Census data, and from a sample of 260,000 anonymized LendingTree users. Here are the 10 most 'financially responsible' cities According to LendingTree, these are the 10 most financially responsible cities in America: Several other midwestern cities rank in LendingTree's top 20 for financial responsibility, including Kansas City, Missouri (13), Cincinnati (14), Columbus, Ohio (18) and St. Louis (20). Other financially healthy metros include Knoxville, Tennessee (12th on the list), in the South, and Rochester, New York (16), in the Northeast. According to LendingTree analysts, the cities near the top of the ranking tend to have solid household incomes and reasonable living costs. Those qualities go hand in hand with good credit. 'So much of this whole report gets down to income and credit scores,' said Matt Schulz, chief consumer finance analyst at LendingTree. 'While income doesn't go into your ability to get a credit card, for example, it plays a major role in setting how much of a credit limit you get once you do get the card.' Five cities where consumers live within their means Here are snapshots of the top 5 metros for financial health: If the most 'financially responsible' metros have anything in common, apart from geography, it might be cost of living. Some of the nation's most notoriously costly cities, including New York, Boston, San Francisco and Seattle, sit further down the list. (San Jose is a notable exception.) 'There's not much substitute for having a low cost of living,' Schulz said. 'It impacts everything you do financially.' Five ways to improve your credit score Three of the five metrics in the LendingTree analysis concern credit. Maxed-out cards and excessive credit inquiries tend to hurt a consumer's credit score. A lower credit score can mean higher interest rates on loans and lower limits on credit cards. Here, then, are five expert tips for building a better credit score. Pay bills on time The biggest component of a FICO credit score, 35%, is 'payment history.' It means, quite simply, paying your bills on time. That means 'not missing any of your payments, especially more than 30 days,' said Sara Rathner, credit cards expert at NerdWallet, speaking to USA TODAY in June. 'All of the hard work you've been doing can be undone with one missed payment.' Credit cards, mortgages, rent, utilities: Just about anything can show up on a credit report as delinquent, if the creditor takes the time to report it. Try to make payments on time, Rathner said. If you miss a payment, correct the oversight quickly. Don't use too much credit The second-largest factor in a credit report, accounting for 30%, is 'amounts owed.' That metric refers to credit utilization: how much of your available credit you actually use. The goal is to use as little of your available credit as possible. Having a higher credit limit – and more credit cards − can help keep your utilization rate low, provided you use credit carefully. Pay off your cards every month, if you can, experts say. Try not to use too much of your available credit. 'I think the best practice here is to try to keep your utilization under 30%,' said Joel O'Leary, personal finance writer at Motley Fool Money, speaking to USA TODAY in June. 'But I think the sweet spot is 10%, or even less than 10%.' Build a credit history Length of credit history accounts for 15% of a credit score. This metric is all about time: How long your credit accounts have been open, their average age, and how often you use them. It's smart to keep old, zero-balance credit card accounts open, experts say, especially if they carry no annual fee. Keeping them active will boost your available credit, while also documenting your credit history. Monitor your credit report Nearly half of all credit reports may contain errors, according to research by the consumer groups Consumer Reports and WorkMoney. Some errors can lower your credit score. Consumers should review their credit reports at least once a year, experts say. You can access your reports at no cost on the website If you find an error, report it to the credit bureau. If the error is on a specific account, you can also contact the company directly. Beware of 'hard' credit inquiries Any time you apply for new credit and the creditor pulls your file, it can affect your credit score. These are called 'hard inquiries,' and they can influence your score for 12 months, according to Experian. You'll typically incur a hard inquiry if you apply for a credit card, auto loan or mortgage, among other scenarios. The takeaway: Be careful about triggering too many credit inquiries.
Miami Herald
14 hours ago
- Automotive
- Miami Herald
BMW drivers have highest DUI rate in largest U.S. cities: study
Driving under the influence (DUI) is still tragically common, and drivers of certain car brands are more likely to be offenders, according to a new study from LendingTree, which provides comparative quotes for car insurance, loans, and other financial products. Study was based on "tens of millions" of insurance quotes from 2024 for the 50 largest cities in the United States, according to LendingTree. These were publicly-available quotes from insurer filings, which Lending Tree emphasizes are generic examples for comparative purposes. Rates for actual customers can vary depending on their circumstances. LendingTree calculated the DUI rate per 1,000 drivers in major cities, and found it to be the highest for BMW drivers, at 3.09. Ram drivers were pretty close to the German automaker, at 3.00, followed by Acura drivers (2.69) and Audi and Volvo drivers (both 2.42). At other times other end of the spectrum, Mercury drivers had the lowest estimated DUI rate, at 0.86 cases per 1,000 drivers. However, given that the Mercury brand has been defunct for about 15 years, the results may be skewed by the likely smaller number of Mercurys on the road compared to other brands. Land Rover and Lincoln-two brands that are still around-had the next-lowest DUI rate, with both estimated at 1.16 DUIs per 1,000 drivers. The study also broke down DUI rates by city. Omaha, Nebraska, had the highest rate at 4.48 DUIs per 1,000 drivers. That's more than twice the average of 1.90 for all 50 cities studied. Most of the other cities in the top five were in California, including San Jose (3.68), Sacramento (3.55), and Fresno (3.31). Virginia Beach, Virginia, was fourth, with 3.46 DUIs per 1,000 drivers. Chicago had the lowest DUI rate, at 0.45 per 1,000 drivers. Other cities with low DUI rates were Tulsa, Oklahoma, (0.65), Miami, Memphis, Tennessee, and Philadelphia, which all had a rate of 0.66 DUI cases per 1,000 drivers. However, El Paso, Texas, had the highest percentage of fatal crashes involving a drunk driver. More than half (60.8%) of fatal crashes during the period studied involved a drunk driver, compared to a national average of 37.6%. El Paso was followed by Omaha (60.6%), Portland, Oregon, (54.7%), Fort Worth (51.9%), and Houston (49.3%). Milwaukee had the lowest percentage, at 22.9%, along with Miami (23.9%), and Tampa (24.5%). LendingTree also looked at DUI rates by age group, and found that younger drivers in the 50 largest U.S. cities tended to have higher rates than older ones. Breaking the results down by generation, the numbers declined as age increased. Gen Z drivers (defined as those aged 18 to 27 in 2024) in the 50 largest U.S. cities had a DUI rate of 2.62 per 1,000 drivers. Millennials (those aged 28 to 43 in 2024) had a DUI rate of 2.40 rate per 1,000 drivers. Rates took a big dip with Gen X (1.40), the Baby Boomers (0.76), and the Silent Generation (0.21). LendingTree noted that older people tend to be more risk-averse, but a comparison with average miles driven by generation might also be helpful here, as it likely varies depending on age. Copyright 2025 The Arena Group, Inc. All Rights Reserved.
Auto Blog
14 hours ago
- Automotive
- Auto Blog
BMW drivers have highest DUI rate in largest U.S. cities: study
By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. That's Based On Analysis Of Insurance-Quote Data Driving under the influence (DUI) is still tragically common, and drivers of certain car brands are more likely to be offenders, according to a new study from LendingTree, which provides comparative quotes for car insurance, loans, and other financial products. Study was based on 'tens of millions' of insurance quotes from 2024 for the 50 largest cities in the United States, according to LendingTree. These were publicly-available quotes from insurer filings, which Lending Tree emphasizes are generic examples for comparative purposes. Rates for actual customers can vary depending on their circumstances. 2025 Audi S3 vs Mercedes-AMG CLA 35: the executive decision Watch More BMW Drivers Have Highest DUI Rate Source: Eric Thayer/Bloomberg via Getty Images LendingTree calculated the DUI rate per 1,000 drivers in major cities, and found it to be the highest for BMW drivers, at 3.09. Ram drivers were pretty close to the German automaker, at 3.00, followed by Acura drivers (2.69) and Audi and Volvo drivers (both 2.42). At other times other end of the spectrum, Mercury drivers had the lowest estimated DUI rate, at 0.86 cases per 1,000 drivers. However, given that the Mercury brand has been defunct for about 15 years, the results may be skewed by the likely smaller number of Mercurys on the road compared to other brands. Land Rover and Lincoln—two brands that are still around—had the next-lowest DUI rate, with both estimated at 1.16 DUIs per 1,000 drivers. Omaha Has Highest DUI Rate Among U.S. Cities Source: LendingTree The study also broke down DUI rates by city. Omaha, Nebraska, had the highest rate at 4.48 DUIs per 1,000 drivers. That's more than twice the average of 1.90 for all 50 cities studied. Most of the other cities in the top five were in California, including San Jose (3.68), Sacramento (3.55), and Fresno (3.31). Virginia Beach, Virginia, was fourth, with 3.46 DUIs per 1,000 drivers. Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Chicago had the lowest DUI rate, at 0.45 per 1,000 drivers. Other cities with low DUI rates were Tulsa, Oklahoma, (0.65), Miami, Memphis, Tennessee, and Philadelphia, which all had a rate of 0.66 DUI cases per 1,000 drivers. EL Paso Has Highest Percentage Of Crashes Involving Drunk Drivers Source: LendingTree However, El Paso, Texas, had the highest percentage of fatal crashes involving a drunk driver. More than half (60.8%) of fatal crashes during the period studied involved a drunk driver, compared to a national average of 37.6%. El Paso was followed by Omaha (60.6%), Portland, Oregon, (54.7%), Fort Worth (51.9%), and Houston (49.3%). Milwaukee had the lowest percentage, at 22.9%, along with Miami (23.9%), and Tampa (24.5%). Younger Drivers More Likely To Be Caught Driving Under The Influence LendingTree also looked at DUI rates by age group, and found that younger drivers in the 50 largest U.S. cities tended to have higher rates than older ones. Breaking the results down by generation, the numbers declined as age increased. Gen Z drivers (defined as those aged 18 to 27 in 2024) in the 50 largest U.S. cities had a DUI rate of 2.62 per 1,000 drivers. Millennials (those aged 28 to 43 in 2024) had a DUI rate of 2.40 rate per 1,000 drivers. Rates took a big dip with Gen X (1.40), the Baby Boomers (0.76), and the Silent Generation (0.21). LendingTree noted that older people tend to be more risk-averse, but a comparison with average miles driven by generation might also be helpful here, as it likely varies depending on age. About the Author Stephen Edelstein View Profile
Newsweek
18 hours ago
- Business
- Newsweek
Map Shows Cities Where People Are Most Financially Responsible
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Where you live can play a significant role in your finances. With cost of living, inflation, housing and food costs all somewhat dependent on the area you live in, Americans' personal financial habits can vary drastically by location. A new report from LendingTree ranked the most and least financially responsible metros based on debt-to-income (DTI) ratios, credit inquiries, maxed-out credit cards, spending on housing costs and low credit utilization rates. Tied for the top spot were Des Moines, Iowa, and San Jose, California, with low housing costs and debt-to-income ratios. Why It Matters U.S. households collectively owe $18.203 trillion in debt in 2025, according to the Motley Fool. While mortgages make up 70 percent of this, your personal finances and debt can play a major role in overall quality of life. With poor finances, car and home loans will likely be rejected and life decisions like starting a family or getting married could be delayed significantly. What To Know Des Moines was one of the most financially responsible cities, with only 18.9 percent of households spending 35 percent or more of their income on housing, the fourth lowest across 100 of the largest metros. San Jose had the lowest debt-to-income ratio at 51 percent, tying with Syracuse, New York, and Harrisburg, Pennsylvania. And 76.6 percent of cardholders kept their utilization below 30 percent. Also in the top five were Madison, Wisconsin; Minneapolis, Minnesota; and Pittsburgh, Pennsylvania. Madison had a top spot as it boasted the lowest percentage of cardholders having at least one maxed-out card, at just 16.3 percent. The Visa, Mastercard and American Express logos on various credit and debit cards beside a U.S. $1 bill. The Visa, Mastercard and American Express logos on various credit and debit cards beside a U.S. $1 Financially Responsible Metros Some cities on the list stood out as residents were some of the least financially responsible across the country. Claiming the worst spot was McAllen, Texas, which had the highest average number of credit inquiries over the past two years (6.7), the largest share of cardholders with at least one maxed-out card (35.8 percent) and the lowest rate of cardholders with a utilization below 30 percent (43.0 percent). "That struggle is almost certainly made worse by the fact that McAllen residents tend to have lower incomes and lower credit scores than people in other big cities around the country," Matt Schulz, LendingTree chief consumer finance analyst, said in the report. "Lower credit scores make it harder to get credit, and lower income means that if you do qualify for a credit card, your credit limit probably won't be very high. That makes for a challenging situation for McAllen residents, leaving them precious little wiggle room financially." Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast as well as a Texas native, echoed the sentiment. "A lot of what you see—the big houses, the glitz, the glamour—is often a mirage, masking high levels of debt and financial instability beneath the surface," Thompson told Newsweek. "McAllen continues to struggle with high poverty rates, and many residents face ongoing challenges with housing affordability." Riverside, California, and Miami, Florida, also landed in the bottom three. While Riverside had by far the worst debt-to-income ratio at 251 percent, Miami saw housing costs dampen finances. Roughly 37.6 percent of households spent 35 percent or more of their income on housing. Also in the bottom five were Virginia Beach, Virginia, and Las Vegas, Nevada. What People Are Saying Matt Schulz, LendingTree chief consumer finance analyst, in the report: "Obviously, there's discipline required to live within your means no matter how much you make or where you live, but it shouldn't surprise anyone that making more money or living in a lower-cost area would make that easier." Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast, told Newsweek: "Some areas are simply disadvantaged from the start. McAllen may have a lower cost of living, but the economic opportunity hasn't kept pace with the region's basic needs. Long term, these struggles are likely to persist, and the economic divide will continue to widen—forcing many to leave in search of higher incomes elsewhere. As a result, we'll likely see continued population growth in cities where jobs are more plentiful, even if affordability remains a challenge." Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek: "The common theme with these findings isn't where these cities are located, but rather the financial principles their residents are using to be responsible with their money. Whether you're in a high income city like San Jose or a more mid-range one like Des Moines doesn't matter. It's about being better at saving, keeping your credit utilization low, and avoiding crippling amounts of debt." What Happens Next Because the cities that ranked at the top and the bottom were scattered across the country, experts say your personal finance habits are just as, if not more, important than the exact city or region you live in. "The metros that rank are incredibly diverse, both in personal and in business income, but that's a testament to the lesson many Americans need to learn," Beene said. "In the end, your financial outlook is less about income and more about the outcomes."
Miami Herald
21 hours ago
- Business
- Miami Herald
Should I ditch my credit card for BNPL?
Buy now, pay later (BNPL) is popping up everywhere. An April 2025 LendingTree survey found that around half of Americans have used BNPL, and around 1 in 3 have used it more than once. Buyers aren't just using it for essentials either, with a Billboard report finding that nearly 2 in 3 attendees at this year's Coachella festival used BNPL to buy their tickets. Credit cards, the grandfather of deferred payment solutions, have been around since the 1950s, and more than 4 in 5 US adults have one, according to the Federal Reserve. Is it worth ditching high-interest plastic in favor of zero-interest cardless loans? shares how BNPL and credit cards compare and when you might want to use one over the other. Which is cheaper? TLDR: BNPL can be cheaper for controlled spenders with a short-term repayment horizon, but it can be a dangerous financial trap for shopaholics who don't have a financial plan. BNPL is famously touted as a zero-interest alternative to other forms of debt financing like credit cards, which, for some people, can be a symbol of reckless spending. Here's how the costs actually break down between popular BNPL plans and a typical credit card in the U.S. as of July 4, 2025: Klarna Term: 6 weeks (4 payments, every 2 weeks)Rate: 0% (up to 35.99% APR for longer terms)Fees: nonePenalties: late payment fee up to $7 (max 25% of purchase) Afterpay Term: 6 weeks (4 payments, every 2 weeks)Rate: 0% (up to 35.99% APR for longer terms)Fees: nonePenalties: late payment up to $8 (max 25% of purchase) Affirm Term: 6 weeks (4 payments, every 2 weeks)Rate: 0% (up to 36% APR for longer terms)Fees: nonePenalties: no late fee Typical credit card Term: Open termRate: 21.37%* (21-day interest-free grace period)Fees:Annual fee: $0 to hundreds of dollarsCash advance: 3%-5% (min $10)Foreign transaction: 1%-3%Balance transfer: 3%-5% (min $5)Penalties:Late payment: $32Over-the-limit: up to $35+Returned payment: $25-$40 *Average credit card interest rate as of February 2025 based on data from the Federal Reserve Bank of St. Louis. So, is BNPL cheaper than a credit card? In the short run, yes. Major BNPL companies like Klarna, Affirm and Afterpay will let you pay some of your purchase upfront and split the rest into three more payments with no interest or fees. But there's a catch. BNPL is attractive to carefree shoppers who don't take repayments seriously and end up rolling over debt into longer-term BNPL loans with interest rates that can make credit cards look cheap. Credit card interest rates are predictable, remaining fixed unless you miss payments and trigger the penalty rate. But there's a host of other costs to consider with credit cards, such as annual fees-which reach hundreds of dollars for some premium cards-foreign transaction fees, over-the-limit fees and other charges that BNPL plans largely or entirely steer clear of. If an unavoidable purchase arises, you don't have enough savings and you're confident you can pay off the bill in six weeks or less, BNPL could be worth considering. But a credit card might be cheaper if you need more time to repay. That's assuming you don't carry a balance indefinitely, which would quickly wipe out the advantage of having a lower interest rate. Which is safer? TLDR: Currently, credit cards come with greater consumer protections than BNPL loans. Choosing BNPL over credit cards might lower the cost of borrowing in the short run, but credit cards win out when it comes to consumer protection-for now, at least. Not all credit cards offer the same features, but many come with consumer safeguards like purchase protection and extended warranty coverage. This product information is accurate as of July 4, 2025. Is BNPL regulated in the US? Where U.S. regulation is concerned, BNPL currently operates in the Wild West. There's very little regulation, although this is beginning to change. New York recently enacted legislation requiring BNPL companies operating in the state to be licensed and follow rules regarding interest rate caps and fee limits. Others may follow the Empire State's lead, filling in the gap left by the Consumer Financial Protection Bureau's (CFPB) recent abandonment of efforts to bring BNPL under the regulatory framework of credit cards. Back in May 2024, the CFPB ruled that buy now, pay later lenders are "card issuers" and should be subject to Regulation Z (also known as the Truth in Lending Act), which outlines rules that prohibit predatory lending among credit card issuers, installment loan providers and other lenders. In light of President Donald Trump's Executive Order 13891, aimed at deregulating and avoiding bureaucratic redundancy, the CFPB withdrew over 60 guidance materials in May 2025, reducing its powers of enforcement "to only those areas statutorily required." The BNPL loan ruling was among those axed, and its elimination has fueled the urgency to find a way to limit the risks of this fast-growing industry. It looks like state governments may be stepping up to the challenge. Which comes with more perks? TLDR: BNPL apps may offer some ways to save or earn rewards, but credit cards generally offer a greater range of complimentary benefits. Cost and safety aside, which payment option offers more benefits and freebies? Backed by a much longer history of fine-tuning features to meet consumers' needs and wants, credit cards come out ahead. While some basic cards minimize perks to keep fees low, many others add on a slew of complimentary goodies to encourage card signups and spending. Welcome bonuses, travel insurance, car rental discounts, concierge services and special retail offers are just a few examples. Many credit cards also let you earn rewards points, cashback or travel miles on your purchases. Accumulated bonuses can offset the cost of seasonal getaways or help you pay for everyday expenses-a top financial concern for many these days. BNPL doesn't offer as much by comparison. Klarna advertises up to 10% cash back at partner retailers when you make in-app purchases with the Klarna credit has a loyalty program through which buyers can earn exclusive offers and access financing with no upfront payment has ventured even further into the money management sphere with the Affirm Card and Affirm Money Account for spending and saving. But there are few benefits aside from the ability to earn interest. The gap between BNPL loans and credit cards may close over time as the buy now, pay later industry continues to evolve and offer more ways to make money and earn rewards. On the other hand, BNPL lenders know their most profitable strength is remaining accessible to borrowers who have poor or no credit, so they might plan to intentionally fly below credit card programs and target subprime consumer spending. Bottom line So, which comes out on top: BNPL or credit cards? BNPL loans cost less if you pay off your purchase entirely within the zero-interest financing term (usually six weeks), and you don't roll over your debt into long-term plans with high interest. But the credit card industry is backed by greater consumer protections and has more to offer if you're looking for ways to leverage your recurring or long-term spending to earn rewards. It may not be worth ditching your credit card for BNPL loans right now-but that doesn't mean "Pay in 4" lenders won't start giving credit card companies a run for their money in the future. This story was produced by and reviewed and distributed by Stacker. © Stacker Media, LLC.
