Laredo Ranks Top 10 in U.S. for Debt Delinquency

WalletHub composed a study of the 100 American cities most delinquent on debt. Unpaid credit cards, loans and past-due bills can lead to late fees, closed accounts, lawsuits and negative marks on a credit report for up to seven years.

Where a person lives can affect their ability to pay off debt, according to a study from WalletHub. The company analyzed the 100 largest cities in the U.S. to determine which had the most residents delinquent on debt.

Texas has 13 cities among the 100 most debt-delinquent cities, with Laredo ranking No. 8 overall—placing it among the top 10 cities with the highest levels of delinquent debt.

To determine the rankings, WalletHub evaluated cities using two key metrics:

• The percentage of tradelines that were delinquent in Q4 2025
• The percentage of total loan balances that were delinquent during the same period

According to the Consumer Financial Protection Bureau, most statutes of limitations have a range of three to six years. However, cases can vary due to:

• State laws
• What type of debt you have
• Whether the state law applicable is named in your credit agreement

Per the CFPB, it's best practice to do the following if/when a debt collection agency contacts a person:

• The identity of the debt collector, including name, address, and phone number
• The amount of the debt
• What the debt is for and when the debt was incurred
• The name of the original creditor
• Information about whether you or someone else may owe the debt