HONOLULU (KHON2) Hawai‘i residents are amongst the most proactive in the nation when it comes to managing credit. According to a June 26 report, the state ranked 5th overall in a nationwide study that measured how closely people monitor and manage their credit in the United States.
The report used six key metrics to calculate how diligent residents are with their credit. Hawai‘i earned top marks in several categories, including first place for the lowest percentage of customers with collections tradelines and foreclosures in the first quarter of 2025.
Leading the way in avoiding debt trouble
Out of all 50 states, Hawai‘i had the lowest percentage of residents with accounts in collections. Collections tradelines usually happen when someone falls behind on bills and the debt gets passed to a collections agency.
Hawai‘i’s top ranking means that fewer people are ending up in that situation.
The state also ranked first for the lowest percentage of foreclosures. This demonstrated that Hawai‘i residents are keeping up with their mortgage payments better than anyone else in the U.S. during the same time period.
Strong performance across multiple credit indicators
While Hawai‘i led in two major areas, it also performed well in other categories. The state ranked sixth for the lowest percentage of missed payments. This shows that residents are generally consistent with staying on top of their bills.
Hawai‘i came in 18th for active bankruptcies, the only metric where it didn’t break into the top 10. Still, even a mid-range rank here places the state above the national average.
High score reflects commitment to credit health
The report gave Hawai‘i a total score of 74.76 out of 100. This was just behind Alaska and ahead of New York. The score reflects how mindful residents are when it comes to credit use, debt and report accuracy.
“Being diligent about your credit goes far beyond just making timely payments and only borrowing what you can afford to pay back, although those elements are important,” said Chip Lupo who is an analyst for the report. “True diligence also includes monitoring your credit reports regularly to make sure there are no inaccuracies and swiftly reporting anything that’s out of place. Mistakes on your credit report can unfairly hurt your credit score.”
You can click here to read the full report.
Only four states ranked higher than Hawai‘i: Massachusetts, Iowa, Vermont and Alaska. Hawai‘i’s strong showing puts it in rare company, well ahead of the national average.