These states are best prepared for the next recession
North Dakota has the best credit conditions in the U.S., making it the state that is best prepared to get through a recession, according to a new report.
CardRatings.com published its research on Tuesday and released lists of the 10 states that are best equipped to deal with a recession and the 10 states that are least prepared.
After North Dakota, the states that are second and third-best prepared in the U.S. are Vermont and New Hampshire.
Meanwhile, Nevada had the worst credit conditions in the country, followed by Georgia and Louisiana tied for second place.
"For states with unfavorable credit conditions, things may soon reach a boiling point if the economy starts to show any cracks or signs of a cool down,” Richard Barrington, the author of the report said in a statement.
North Dakota is the state with the best credit conditions, according to a new report from CardRatings.com. Fargo, N.D. is pictured. (iStock)
Nevada is the state with the worst credit conditions, according to CardRatings.com. Reno, Nev., is pictured. (iStock)
“The sharp contrasts in the best and worst states means that the credit conditions of your neighbors matter to the long-term prosperity of the area where you live, with the differences between states being magnified even further if the economy were to slip into a recession,” Barrington added.
To calculate its findings, CardRatings.com analyzed all 50 states -- as well as Washington, D.C. -- across five measurements including average credit scores, foreclosures, credit card debt, unemployment and bankruptcy rates.
CLICK HERE TO READ MORE ON FOX BUSINESS
The website used data from a variety of sources including the Census Bureau, the Bureau of Labor Statistics, the Justice Department and consumer reporting agency Experian.
For the full results, here are the 10 states with the best and worst credit conditions in the U.S., according to CreditRatings.com.
STATES WITH THE BEST CREDIT CONDITIONS
1. North Dakota
2. Vermont
3. New Hampshire
4. Minnesota
5. (Tie) Massachusetts
5. (Tie) South Dakota
7. Iowa
8. Colorado
9. Hawaii
10. Nebraska
STATES WITH THE WORST CREDIT CONDITIONS
1. Nevada
2. (Tie) Georgia
2. (Tie) Louisiana
4. Mississippi
5. Alabama
6. New Mexico
7. Tennessee
8. Oklahoma
9. Arizona
10. Illinois