Texas charges up top-10 rank in states dealing with the most debt, per report

loan star state

Everything's bigger here in Texas — including the spending. Photo via Getty Images

It's not too late to rein in that holiday spending, Texas. A new financial report has revealed Texas is the No. 9 state with the highest debt levels in the country.

The report by personal finance website CreditDonkey examined each state's average mortgage debt, student debt, automobile debt, and credit card debt. Rankings were determined based on which state had the highest amount of debt.

Texas was ranked so highly due to its rampant amount of auto loan debt, the most out of all 50 states. Over 100 million Texans have loans on their cars, which has racked up more than $1.5 trillion in auto loan debt. The average Texan's auto loan debt stands at $27,739.

Texans' higher-than-average credit card debt was also a major factor, according to the report. The average credit card debt amount adds up to $6,542.

Speaking of debt, it's worth noting that this report comes after a recent survey that found The Woodlands ranks No. 10 in the U.S. for holiday spending budgets. (No word as to how much of that holiday spending ends up as revolving credit balances.)

The average mortgage debt in the Lone Star State is $217,461, while the average student debt amounts to $33,354. In Houston, first time buyers need to earn 13.9 percent more than 2022 to afford that first home, per a recent report.

While Texas' level of debt is no laughing matter, residents can find some relief they're not living in California. Californians have the most debt in America, with the average mortgage debt at nearly $423,000 per household, and an average student loan debt of $37,384.

CreditDonkey Director of Research Anna Ge explained the "multifaceted story" of why debt in Texas (and overall in the United States) has skyrocketed over the years.

"The causes for the surge in debt are rooted in a confluence of factors – from the pursuit of higher education to home-ownership aspirations and the challenges of rising costs across the board," she said. "The ease of access to credit, while providing immediate relief, has contributed to a culture where spending can outpace income."

Population growth and consumerism are two other driving factors, according to Ge.

"There are also more deep-rooted issues that are causing such drastic increases in debt, from rising costs of essentials such as gas and groceries, to healthcare and living expenses (rent and bills), as costs continue to rise many Americans are being pushed to the edge and require relief that inevitably results in the building up of debt," Ge continued.

The top 10 states struggling with the most debt are:

  • No. 1 – California
  • No. 2 – Hawaii
  • No. 3 – Maryland
  • No. 4 – Alaska
  • No. 5 – Colorado
  • No. 6 – Washington
  • No. 7 – Virginia
  • No. 8 – Georgia
  • No. 9 – Texas
  • No. 10 – Nevada
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This article originally ran on CultureMap. Steven Devadanam contributed to this article.

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Startups have more cash flow options now than ever before. Getty Images

From credit to crowdfunding, experts discuss how startup lending has evolved

Houston Voices

For companies trying to get off the ground, one of the biggest hurdles normally revolves around acquiring funding. Whether it's a friends and family round, early seed stage or a full blown series round, finding funding is a difficult process. This augments the importance of entrepreneurs understanding the full arsenal of tools at their disposal.

Late last month, Cannon Ventures and Texas Citizens Bank teamed up to host a Lunch and Learn at The Cannon's Main Campus to help describe some of the different options for fundraising and explain the evolution of fundraising over the past few years.

This Cannon Lunch and Learn consisted of a panel of industry experts from varying backgrounds answering questions from the crowd about fundraising. The session was moderated by Cannon Ventures' investment analyst, Kristen Philips, where she was joined by the below panelists:

Each of the below strategies were highlighted by our panel of experts, offering a number of potential options for entrepreneurs in search of the best fundraising strategy for their company:

Factoring

Factoring is a form of financing in which a business will sell its accounts receivable (invoices) to a third-party at a discount. This option gives businesses access to immediate funds that can be used to pay for business expenses. This can be an effective option when working with a client who has outstanding invoices and may not be able to pay you back in a timely manner.

Credit insurance

Credit Insurance protects the policyholder in the event that a customer becomes insolvent. Insolvency in business can be a more common scenario than many realize, so credit insurance can serve as a solution if a customer isn't able to pay its debts. Industry standards for credit insurance will often cover around 90 percent of your accounts receivable.

SBA loans

Contrary to popular belief, SBA loans are not direct loans made by The Small Business Administration to entrepreneurs to grow a small business. Instead, an SBA loan provides a guarantee to banks and authorized SBA lenders for the money they lend to small businesses. If a business owner defaults on a loan, the SBA will promise to pay a portion of the loan back. This can alleviate the risk associated with lending money to small business owners and startups that may not qualify for traditional loans. SBA loans open up lending opportunities to thousands of entrepreneurs. In 2017 alone, SBA approved over 68,000 loans and provided over $30 billion to small businesses.

The evolution of lending

The panelists also remarked on how the industry of traditional lending has grown over the years and suggested to be wary of new predatory lending entities. When lending entities do not use depository funds, they are not subject to the same level of regulation that more traditional establishments like banks do. Because of this, predatory lenders can offer large amounts of capital quickly but lock founders into unsustainable interest rates and mechanisms that can trap clients into long-term agreements.

It is important for founders to do their homework and understand the terms whenever you are accepting a loan regardless of how established they may seem, or your need for capital.

Crowdfunding

Crowdfunding is a relatively new phenomenon that has started to become more mainstream after a change of regulation in 2016 by the SEC to allow non-accredited investment in private companies. Crowdfunding is typically done to supplement efforts to an offline fundraise and a way to both market your opportunity to a wider base as well as directly raise funds. These platforms offer the flexibility of either a straight equity raise or a convertible note.


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This is content from our partner, which originally ran on The Cannon.


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5 Houston female founders land on coveted Inc. 500 list

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Five Houston female founders have been recognized by Inc. Magazine for their innovations and for leading their industries forward.

The women were named to Inc.'s Female Founders 500 list, which features female entrepreneurs based in the U.S. The group attracted approximately $9 billion in 2024 revenue and $10.6 billion in funding, according to Inc.

“Female founders know what struggle is, but they’re also experts of improvisation, adaptability, and creativity. The women featured on this year’s list exemplify these qualities," Diana Ransom, Inc. executive editor said in a release. "Through times of uncertainty, their unwavering dedication and steadfast leadership are not only inspiring but vital to driving progress.”

The Houston founders are:

  • Emily Cisek, founder of The Postage, now known as Paige, a comprehensive life planning and succession software platform for families and small businesses. The company won the Female-Owned Business category in the 2023 Houston Innovation Awards.
  • Sassie Duggleby, CEO and co-founder of Houston space tech and engine company Venus Aerospace. The company won the in the Deep Tech Business category in the 2024 Houston Innovation Awards. Duggleby also serves on the Texas Space Commission board of directors.
  • Stephanie Murphy, CEO and executive chairman of Aegis Aerospace, which provides space services, spaceflight product development, and engineering services. Murphy also serves on the Texas Aerospace Research and Space Economy Consortium Executive Committee.
  • Margo Jordan, founder of adolescent mental health startup Enrichly, which uses AI-driven self-esteem development and behavioral insights to boost student performance.
  • Nina Magon, founder of Nina Magon Studio / Nina Magon Consumer Products, a residential and commercial interior design company

"With every family and community we're able to impact through accessible estate planning, we're driven to do even more. Being recognized on Inc.’s Female Founders list is an incredible honor and a testament to the impact we’re making in fintech and beyond," Cisek said in a news release.

Duggleby echoed that sentiment on LinkedIn.

"While I don't know many of the ladies on this list, I do know they're some of the most tenacious role models in entrepreneurship. I'm beyond honored to be included among them," Duggleby added in a post.

Twenty-eight Texas female founders made this list, including Kendra Scott and Allison Ellsworth, co-founder of Poppi, and many others. See the full list of winners here.

Tesla forced to recall nearly all Cybertrucks in latest setback

Tesla Talk

U.S. safety regulators on Thursday recalled virtually all Cybertrucks on the road, the eighth recall of the Tesla-made vehicles since deliveries to customers began just over a year ago.

The National Highway Traffic Safety Administration's recall, which covers more than 46,000 Cybertrucks, warned that an exterior panel that runs along the left and right side of the windshield can detach while driving, creating a dangerous road hazard for other drivers, increasing the risk of a crash.

The stainless steel strip, called a cant rail assembly, between the windshield and the roof on both sides, is bound to the truck’s assembly with a structural adhesive, the NHTSA report said. The remedy uses an adhesive that’s not been found to be vulnerable to “environmental embrittlement,” the NHTSA said, and includes additional reinforcements.

Tesla will replace the panel free of charge. Owner notification letters are expected to be mailed May 19, 2025.

The recall of 46,096 Cybertrucks covers all 2024 and 2025 model years, manufactured from November 13, 2023, to February 27, 2025. The NHTSA order says that Tesla became aware of the problem early this year.

Videos posted on social media showing people ripping the panels off of Cybertrucks with their hands have gone viral in recent days.

The Cybertruck, which Tesla began delivering to buyers in late 2023, has been recalled eight times in the past 15 months for safety problems, including once in November because a fault in an electric inverter can cause the drive wheels to lose power. Last April, the futuristic-looking trucks were recalled to fix acceleration pedals that can get stuck in the interior trim. Other recalls were related to windshield wipers and the display screen.

It's the latest setback for the Elon Musk-owned electric automaker, which has come under attack since President Donald Trump took office and empowered Musk to oversee a new Department of Government Efficiency that’s slashing government spending.

While no injuries have been reported, Tesla showrooms, vehicle lots, charging stations and privately owned cars have been targeted.

Prosecutors in Colorado charged a woman last month in connection with attacks on Tesla dealerships, including Molotov cocktails thrown at vehicles and the words “Nazi cars” spray-painted on a building.

And federal agents in South Carolina last week arrested a man they say set fire to Tesla charging stations near Charleston. An agent from the Bureau of Alcohol, Tobacco, Firearms and Explosives wrote in an affidavit that authorities found writings critical of the government and DOGE in his bedroom and wallet.

Even before the attacks ramped up in recent weeks, Tesla has been struggling, facing increased competition from rival electric vehicles, particularly out of China.

Though largely unaffected by Thursday's recall announcement, Tesla shares have plummeted 42% in 2025, reflecting newfound pessimism as sales crater around the globe.

With regard to Thursday's recall, Cybertruck owners may contact Tesla customer service at 1-877-798-3752 and the National Highway Traffic Safety Administration Vehicle Safety Hotline at 888-327-4236, or go to nhtsa.gov.

$100,000 salary goes further in Houston than most cities, study shows

Cashing In

Even with Houston's ever-changing cost of living, earning a six-figure salary in the city is going much further than it used to, according to an income study by fintech company SmartAsset.

An annual $100,000 salary in Houston is worth $83,343 after taxes and when adjusted for the city's cost of living, the report revealed. That's $5,254 more than what six-figure-earning Houstonians were bringing home last year, a separate report from GoBankingRates.com found.

In SmartAsset's rankings of U.S. cities where $100,000 is worth the most, Houston ranked ninth.

The report warns a six-figure salary may seem comfortable at first, but it may not stretch as far depending on where an individual lives, any applicable tax obligations, and the rate of inflation.

"Earning $100,000 places an individual tax filer at the upper limit of the 22 percent federal tax bracket," the report's author wrote. "But taxes aren’t the only factor. The cost of living varies widely across the country, affecting how much purchasing power remains after necessary expenses."

Manhattan, New York is the No. 1 place where a six-figure salary is worth the least, where a New Yorker's take-home pay is only worth $30,362 after taxes and adjusted for the cost of living.

Other U.S. cities where a $100,000 salary goes the furthest
The U.S. city where a six-figure salary goes the furthest is Oklahoma City, where residents come away with $89,989 after all expenses.

Texas cities dominated the top 10 list. Texas doesn't impose state or local income taxes, which likely boosted its statewide six-figure salary value.

Six-figure earners living in El Paso see the greatest amount in take-home pay statewide, according to SmartAsset, with residents making $89,114 annually after taxes and expenses in 2025. That's $274 more than 2024's take-home pay.

The three additional Texas cities where a $100,000 salary goes the furthest after taxes and expenses are:

  • No. 3 – Corpus Christi ($88,015)
  • No. 6 – Lubbock ($86,846)
  • No. 7 – San Antonio ($86,084)

Six-figure salaries don't stretch as far in Dallas-Fort Worth. An annual $100,000 salary in Dallas is worth only $77,197 after taxes and expenses, which is about $900 less than what six-figure-earning Dallasites brought home in 2024.

Those living in Plano are taking home even less: The study says a Plano resident's six-figure salary is only worth $71,372 in 2025.

In the report's rankings of U.S. cities where $100,000 is worth the least, Plano ranked at No. 26, while Dallas ranked 38th.

SmartAsset used its paycheck calculator to apply federal, state and local taxes to an annual salary of $100,000 in 69 of the largest American cities, which was then adjusted for the local cost of living (which included average costs for housing, groceries, utilities, transportation, and miscellaneous goods and services).

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A version of this story originally appeared on sister site, CultureMap.com.

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