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

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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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Axiom Space-tested cancer drug advances to clinical trials

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A cancer-fighting drug tested aboard several Axiom Space missions is moving forward to clinical trials.

Rebecsinib, which targets a cancer cloning and immune evasion gene, ADAR1, has received FDA approval to enter clinical trials under active Investigational New Drug (IND) status, according to a news release. The drug was tested aboard Axiom Mission 2 (Ax-2) and Axiom Mission 3 (Ax-3). It was developed by Aspera Biomedicine, led by Dr. Catriona Jamieson, director of the UC San Diego Sanford Stem Cell Institute (SSCI).

The San Diego-based Aspera team and Houston-based Axiom partnered to allow Rebecsinib to be tested in microgravity. Tumors have been shown to grow more rapidly in microgravity and even mimic how aggressive cancers can develop in patients.

“In terms of tumor growth, we see a doubling in growth of these little mini-tumors in just 10 days,” Jamieson explained in the release.

Rebecsinib took part in the patient-derived tumor organoid testing aboard the International Space Station. Similar testing is planned to continue on Axiom Station, the company's commercial space station that's currently under development.

Additionally, the drug will be tested aboard Ax-4 under its active IND status, which was targeted to launch June 25.

“We anticipate that this monumental mission will inform the expanded development of the first ADAR1 inhibitory cancer stem cell targeting drug for a broad array of cancers," Jamieson added.

According to Axiom, the milestone represents the potential for commercial space collaborations.

“We’re proud to work with Aspera Biomedicines and the UC San Diego Sanford Stem Cell Institute, as together we have achieved a historic milestone, and we’re even more excited for what’s to come,” Tejpaul Bhatia, the new CEO of Axiom Space, said in the release. “This is how we crack the code of the space economy – uniting public and private partners to turn microgravity into a launchpad for breakthroughs.”

Houston ranks No. 4 for HQ relocations and more innovation news to know

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Editor's note: The top recent Houston business and innovation news includes a high ranking for Houston HQs, an innovative exoskeleton designed for children with cerebral palsy, and incoming drones for Walmart delivery. Catch up on the 5 most-read InnovationMap stories from the latter half of June 2025 below:

1. Houston ranks among top 5 cities for corporate HQ relocations in new report

Houston attracted 31 new corporate headquarters from 2018 to 2024, according to a new report from CBRE. Photo via Getty Images

The Houston area already holds the title as the country’s third biggest metro hub for Fortune 500 headquarters, behind the New York City and Chicago areas. Now, Houston can tout another HQ accolade: It’s in a fourth-place tie with the Phoenix area for the most corporate headquarters relocations from 2018 to 2024.

During that period, the Houston and Phoenix areas each attracted 31 corporate headquarters, according to new research from commercial real estate services company CBRE. Continue reading.

2. Texas plugs in among states at highest risk for summer power outages in 2025

A new study puts Texas at No. 2 among the states most at risk for power outages this summer. Photo via Getty Images

Warning: Houston could be in for an especially uncomfortable summer.

A new study from solar energy company Wolf River Electric puts Texas at No. 2 among the states most at risk for power outages this summer. Michigan tops the list. Continue reading.

3. Houston team develops innovative soft skeleton for kids with cerebral palsy

UH BRAIN and TIRR Memorial Hermann have developed the MyoStep soft exoskeleton to address motor impairments caused by cerebral palsy. Photo courtesy UH.

A Houston team has introduced the MyoStep soft exoskeleton for children with cerebral palsy.

The soft skeleton aims to address motor impairments caused by cerebral palsy that impact children’s ability to participate in physical activities, self-care and academics. Continue reading.

4. CPRIT grants $22M to bring top cancer researchers to Houston

CPRIT recently granted $93 million to 61 organizations and scientists, including many in Houston, to advance cancer research. Carter Smith/Courtesy of MD Anderson

Several prominent cancer researchers are coming to the Houston area thanks to $22 million in grants recently awarded by the Cancer Prevention and Research Institute of Texas (CPRIT).

The biggest CPRIT recruitment grant — $6 million — went to genetics researcher Jean Gautier. Gautier, a professor of genetics and development at Columbia University’s Institute for Cancer Genetics, is joining the University of Texas MD Anderson Cancer Center to continue his research. Continue reading.

5. California company to launch Walmart drone delivery in Houston

California company to launch Walmart drone delivery in Houston

Walmart Supercenters in Houston will offer Wing drone delivery services by this time next year. Photo courtesy Wing.

California-based Wing will soon touch down in Houston.

The drone delivery company has partnered with Walmart Supercenters in Houston, Atlanta, Charlotte, Orlando and Tampa. According to a news release, Wing’s drone delivery services will be available at 100 Walmart stores across the selected markets by this time next year. Continue reading.

Chevron enters the lithium market with major Texas land acquisition

to market

Chevron U.S.A., a subsidiary of Houston-based energy company Chevron, has taken its first big step toward establishing a commercial-scale lithium business.

Chevron acquired leaseholds totaling about 125,000 acres in Northeast Texas and southwest Arkansas from TerraVolta Resources and East Texas Natural Resources. The acreage contains a high amount of lithium, which Chevron plans to extract from brines produced from the subsurface.

Lithium-ion batteries are used in an array of technologies, such as smartwatches, e-bikes, pacemakers, and batteries for electric vehicles, according to Chevron. The International Energy Agency estimates lithium demand could grow more than 400 percent by 2040.

“This acquisition represents a strategic investment to support energy manufacturing and expand U.S.-based critical mineral supplies,” Jeff Gustavson, president of Chevron New Energies, said in a news release. “Establishing domestic and resilient lithium supply chains is essential not only to maintaining U.S. energy leadership but also to meeting the growing demand from customers.”

Rania Yacoub, corporate business development manager at Chevron New Energies, said that amid heightening demand, lithium is “one of the world’s most sought-after natural resources.”

“Chevron is looking to help meet that demand and drive U.S. energy competitiveness by sourcing lithium domestically,” Yacoub said.

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This article originally appeared on EnergyCapital.

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