Understanding North Dakota's 10th Place In Collection Accounts

North Dakota ranks among the states with the highest number of collection accounts, according to a study conducted by WalletHub that examined consumer debt and credit risk across the country. The state placed 10th overall, putting it in the top fifth nationwide for collection account prevalence and indicating elevated financial pressure for some residents.

Source: WalletHub

To develop the rankings, WalletHub analyzed all 50 states using four key metrics. Those included the average number of collection accounts per resident in collections, the average balance owed per account, and how both figures changed from the second quarter of 2025 to the third quarter of 2025.

North Dakota’s overall score was 76.18, ranking it sixth for collection account status and 42nd for changes in average collection accounts. That combination suggests relatively high existing collection activity, while growth in new collection accounts has been slower compared with many other states.

Regionally, North Dakota falls behind several neighboring states. Wyoming ranked first overall, indicating the most collection accounts in the nation, while Montana ranked third. Idaho placed eighth, also ahead of North Dakota. South Dakota ranked 24th, while Minnesota and Iowa ranked 38th and 37th, respectively, placing them lower than North Dakota. Nebraska ranked 14th and Kansas ranked 13th, both slightly worse than North Dakota in the overall standings.

Nationally, the study showed sharp contrasts. Alaska ranked second and Nevada fourth, while Mississippi ranked last, followed by North Carolina and New York, indicating fewer collection accounts relative to other states.

“Collection accounts stay on your credit report for seven years, even once they’re fully paid off, so it’s ideal to not get into this situation in the first place. But if you do have an account in collections, there are several ways you can resolve the issue. You can work to pay off the balance, which may improve your credit score. You can also pursue debt settlement, create a debt management plan, or try to wait out the statute of limitations. No matter what avenue you decide on, you should know your rights and protect yourself from harassment by debt collectors,” said Chip Lupo, WalletHub writer and analyst.

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States With the Most and Fewest Collection Accounts

Overall Rank*	State	Total Score	Collection Accounts Status Rank	Change in Average Collection Accounts Rank
1	Wyoming	91.68	1	24
2	Alaska	84.66	4	3
3	Montana	84.14	2	34
4	Nevada	83.91	3	26
5	Arizona	80.86	5	18
6	Georgia	79.25	9	12
7	Florida	78.61	7	20
8	Idaho	77.48	8	30
9	Rhode Island	77.40	13	1
10	North Dakota	76.18	6	42
11	Texas	75.27	10	31
12	New Hampshire	73.42	18	7
13	Kansas	73.32	16	11
14	Nebraska	72.31	19	15
15	Louisiana	72.12	20	14
16	Missouri	71.77	17	23
17	Pennsylvania	71.71	24	9
18	Wisconsin	71.60	22	16
19	Connecticut	71.40	21	19
20	South Carolina	71.06	12	40
21	Alabama	70.72	27	10
22	Oklahoma	70.24	23	25
23	Arkansas	70.12	33	8
24	South Dakota	69.36	11	45
25	Kentucky	69.35	38	2
26	Michigan	69.23	34	13
27	Tennessee	68.79	26	33
28	Indiana	68.52	31	27
29	Virginia	67.54	32	32
30	California	67.44	40	5
31	West Virginia	67.21	35	28
32	Oregon	66.76	28	38
33	Washington	66.58	29	39
34	Utah	66.46	14	48
35	Ohio	65.85	37	29
36	Vermont	65.46	25	44
37	Iowa	65.43	36	37
38	Minnesota	65.40	39	22
39	New Jersey	64.32	41	17
40	Colorado	58.51	43	35
41	Delaware	58.14	15	50
42	Maine	56.48	30	49
43	Maryland	56.28	44	41
44	New Mexico	55.69	42	47
45	Hawaii	50.71	46	6
46	Illinois	50.24	45	21
47	Massachusetts	49.39	48	4
48	New York	46.56	47	36
49	North Carolina	28.47	49	46
50	Mississippi	14.11	50	43

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WalletHub reported that the data used in the study were collected from its database as of Dec. 18, 2025.

Source: Financial Stress Grows As Collection Accounts Rise In North Dakota

Filed Under: North Dakota

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