MONETARY MISFORTUNE

This is how much credit card debt the average Houstonian carries, says report

Houstonians are carrying sizable debt into the new year. Photo via LivingDice.com

Residents of Houston are nursing New Year's hangovers of another kind — credit card debt.

According to a LendingTree study of the 50 largest U.S. metro areas, Houston consumers rank fourth for the highest median amount of credit card debt to ring in the new year: $3,720. In second place is Austin ($3,911), with Dallas at No. 7 ($3,560). San Antonio holds down the No. 14 spot ($3,414).

Hartford, Connecticut, claims the dubious distinction of ranking first in this category, with median credit card debt of $3,994.

Matt Schulz, LendingTree's chief credit analyst, says people with good credit and high income typically are more inclined to carry bigger credit card balances, since they usually have access to higher credit limits. But he notes that a significant number of younger consumers carry a high amount of credit card debt.

"When you're young and don't have a lot of financial experience, that scary combination can lead to more debt, especially for those living in big, expensive cities," according to LendingTree.

By another yardstick, Texas' four major metros fare much better in the LendingTree study.

Houston ranks 38th for the share of credit card users with debt (81.1 percent). Austin ranks No. 21 (84.7 percent), followed by Dallas at No. 37 (81.2 percent), and San Antonio at No. 48 (75.7 percent).

LendingTree researchers used an anonymized sample of more than 40,000 My LendingTree users from the first 15 days of December 2020 to estimate the percentage of credit card users carrying debt into 2021. They also relied on that data to compile median credit card debts.

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This article originally ran on CultureMap.

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Building Houston

 
 

VR training startup, HTX Labs, has raised funding from an outside investor for the first time. Courtesy of HTX Labs

HTX Labs, a Houston-based company that designs extended reality training for military and business purposes, announced last week that it has raised its first outside capital.

The company has received a $3.2 million investment from Cypress Growth Capital. Founded in 2017, HTX Labs — developer of the EMPACT Immersive Learning Platform — has been granted funding from the Department of Defense as well as grown its client base of commercial Enterprises. The platform uses virtual and extended reality that "enables organizations to rapidly create, deploy, measure, and sustain cost-effective, secure, and centralized immersive training programs, all within engaging, fully interactive virtual environments," per a news release.

“We have been looking to secure outside capital to accelerate the growth of our EMPACT platform and customer base but we hadn’t found the right partner who provided an investment vehicle that matched our needs,“ says HTX Labs CEO Scott Schneider in the release. “We found everything we were looking for in Cypress Growth Capital. They have a non-dilutive funding model that aligns with our capital expectations and have the level of experience that really makes this smart money.

"Cypress has a decade-long track record of success in helping emerging software and services companies achieve scale," he continues. "It is clear that the team’s collective entrepreneurial and operating experience will be of tremendous benefit to us as we focus on expanding our customer base in a very intentional way.”

The fresh funding will go toward growing and scaling the company's operations — both within the current Department of Defense and expansion opportunities into key commercial markets, like heavy industry, manufacturing, and higher education. Additionally, the funding will support increased customer adoption.

“Scott and his team have built an exceptional business that is poised for dramatic growth,” says Cypress Partner Pat McCaffrey in the release. “HTX Labs’ modern, immersive training solution provides clients with a force multiplier for modernizing training and an unmatched ROI.”

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