Tennessee Financial Distress Profile
Composite distress data for 95 counties, updated quarterly from federal sources. Household debt, delinquency, foreclosure law, and county-level distress scores compared to national averages.
· Data from NY Fed, CFPB, BLS, US Courts, Q4 2025
Behind on your mortgage in Tennessee? See your options under Tennessee law →
Tennessee ranks #27 nationally for household financial distress. County Distress Index details are listed separately for its 95 counties. The national State Distress Index average is 50.0.
How Does Tennessee Compare to the National Average?
Tennessee is above the national average on 1 of 5 key household distress metrics. Credit card delinquency stands at 11.6% (below the 12.4% national rate), auto loan delinquency at 5.7%, and total debt per capita at $56,690.
Since 2019, credit card delinquency in Tennessee has risen 3.8pp and total household debt has grown 33.4%. Most metrics remain below the national baseline.
Key Statistics at a Glance
State Distress Index: Tennessee
Movement since 2006
Since 2006, Tennessee has eased from the 7th-most distressed jurisdiction to the 22nd-most distressed, as of 2025 Q1. Its composite State Distress Index score fell from 73.7 to 58.4 over the same span.
Quarter-aligned back-series. Each quarter re-ranks all 51 jurisdictions on that quarter's own data, so a state's position here can sit several spots from the current reading above, which uses each input's latest value.
Domain Breakdown
The national American Distress Index reads 43.8 (Typical). On average, its inputs sit higher than in 44% of their own quarterly histories. Tennessee's State Distress Index of 54.2 (moderate state distress) is computed from 4 equal-weighted domains covering delinquency, default and legal signals, housing-basis debt burden, and labor.
Tennessee vs. National Average
Delinquency rates measure the share of loan accounts 30 or more days past due. Higher rates signal greater household financial stress. Debt and balance figures are per capita, adjusted for state population.
Download all states (CSV)Tennessee vs. National: 5 Key Metrics (Q4 2025)
Source: NY Fed Consumer Credit Panel / Equifax, Q4 2025.
Similar States by Distress Level
States ranked closest to Tennessee (#27) on the State Distress Index. Peer comparison reveals whether distress patterns are regional or structural.
| State | SDI Score | Score Label | Highest Domain |
|---|---|---|---|
| Tennessee | 54.2 | moderate state distress | Default & Legal |
| Pennsylvania | 56.3 | moderate state distress | Debt Burden (housing basis) |
| Ohio | 54.4 | moderate state distress | Default & Legal |
| Rhode Island | 51.6 | moderate state distress | Debt Burden (housing basis) |
Change Since 2019
Pre-pandemic 2019 values provide a baseline for how distress has evolved. Credit card and auto loan delinquency have risen sharply in most states since pandemic-era forbearance protections expired.
| Metric | 2019 | 2025 | Change | Nat'l 2025 |
|---|---|---|---|---|
| Credit Card Delinquency | 7.8% | 11.6% | +3.8pp | 12.4% |
| Auto Loan Delinquency | 4.8% | 5.7% | +0.9pp | 5.2% |
| Mortgage Delinquency | 0.88% | 0.72% | -0.2pp | 0.94% |
| Total Debt per Capita | $42,500 | $56,690 | +33.4% | $63,200 |
| CC Balance per Capita | $2,760 | $3,710 | +34.4% | $4,350 |
Tennessee Foreclosure Law Summary
Understanding your state's foreclosure process is critical if you fall behind on mortgage payments. Tennessee primarily uses non-judicial foreclosure.
Tennessee is primarily a non-judicial foreclosure state. The vast majority of Tennessee residential foreclosures proceed as trustee's sales under the power of sale contained in the deed of trust, governed by TCA § 35-5-101 et seq.
Full Tennessee foreclosure law guide →State-Level Divergence
National averages mask wide variation across states. Tennessee's credit card delinquency of 11.6% falls below the national 12.4%, but other metrics tell a more nuanced story. The state's Distress Index reads 54.2 (moderate state distress). The Household Debt by State roundup tracks all 51 jurisdictions.
Distress by County
The County Distress Index scores every county in Tennessee on a 0-100 scale using five equal-weighted domains: delinquency, default and legal, debt burden, labor, and safety net and buffer. Tennessee's 95 counties average 56.3 — above the national county mean of 50.0.
Score Label Distribution
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Most Distressed Counties
| County | Score | Score Label | Top Driver |
|---|---|---|---|
| Hardeman County | 83.0 | very high county distress | Delinquency |
| Shelby County | 81.7 | very high county distress | Default & Legal |
| Lauderdale County | 80.1 | very high county distress | Default & Legal |
| Lake County | 77.8 | high county distress | Default & Legal |
| Hancock County | 76.5 | high county distress | Debt Burden (housing basis) |
Hardeman County ranks #88 most distressed nationally out of 3,144 counties.
Least Distressed Counties
| County | Score | Score Label | Top Domain |
|---|---|---|---|
| Williamson County | 12.4 | very low county distress | Debt Burden (housing basis) |
| Wilson County | 32.9 | low-moderate county distress | Debt Burden (housing basis) |
| Moore County | 34.8 | low-moderate county distress | Default & Legal |
| Loudon County | 36.6 | low-moderate county distress | Default & Legal |
| Stewart County | 37.6 | low-moderate county distress | Safety Net & Buffer |
The gap between Tennessee's most and least distressed counties is 70.6 points — Hardeman County (83.0, very high county distress) vs. Williamson County (12.4, very low county distress). That spread reveals two very different economic realities within the same state.
Explore all 95 Tennessee counties →CFPB Mortgage Complaints in Tennessee
The Consumer Financial Protection Bureau has received 6,521 mortgage complaints from Tennessee since 2012 — 91.5 per 100,000 residents, below the national rate of 133.2 per 100K. Tennessee ranks #30 of 51 jurisdictions for complaint density.
| Year | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|
| Complaints | 348 | 392 | 362 | 337 | 393 | 478 |
Source: CFPB Consumer Complaint Database. Filed a mortgage complaint? Search the complaint database.
Bankruptcy Filings: Tennessee
The Administrative Office of the U.S. Courts filing rate reports annual cases per resident. It does not identify household causes, motives, assets, income, or case outcomes. Tennessee's filing rate exceeds the national average.
Source: U.S. Courts, Administrative Office. Table F-2: Cases Commenced by Chapter. Per-capita rates use 2024 Census population estimates.
Credit Distress: Tennessee
The Philadelphia Fed Consumer Credit Explorer tracks credit health metrics from Equifax data. 17.3% of Tennessee residents have debt in collections — above the national rate of 13.9%. 19.4% have subprime credit scores (below 620), and 42.5% are credit-constrained.
Source: Philadelphia Fed Consumer Credit Explorer. Data from NY Fed Consumer Credit Panel / Equifax. 2025 Q1.
Economic Context: Tennessee
SNAP enrollment and unemployment rates provide upstream context for household debt distress. Higher food assistance enrollment signals that more families are struggling with basic expenses, while elevated unemployment directly reduces income available for debt service.
Sources: USDA Food and Nutrition Service, BLS Local Area Unemployment Statistics. Population: U.S. Census Bureau 2024 estimates.
Safety Net Strength: Tennessee
The Safety Net Index measures how much support infrastructure is available to households in financial distress — combining healthcare coverage, food assistance, emergency housing funds, and legal protections. Tennessee scores 54.7 out of 100 (Moderate), ranking #17 of 51 jurisdictions.
Component Breakdown
Sources: Kaiser Family Foundation (Medicaid, 2024), USDA FNS (SNAP, 2025), U.S. Treasury HAF program status, state foreclosure statutes.
Frequently Asked Questions
What is the credit card delinquency rate in Tennessee?
The credit card delinquency rate in Tennessee is 11.6% as of Q4 2025, ranking #23 among all states and DC. The national average is 12.4%. This rate has risen from 7.8% in 2019.
How does Tennessee's household debt compare to the national average?
Tennessee residents carry $56,690 in total debt per capita, below the national average of $63,200. Debt per capita has grown 33.4% since 2019. Tennessee ranks #29 nationally for total household debt per capita.
What is the auto loan delinquency rate in Tennessee?
Auto loan delinquency in Tennessee stands at 5.7% as of Q4 2025, above the national rate of 5.2%. This ranks #15 nationally. The rate has risen from 4.8% in 2019.
What type of foreclosure process does Tennessee use?
Tennessee primarily uses non-judicial foreclosure. This allows lenders to foreclose without court proceedings, resulting in a faster process. See our full Tennessee foreclosure law guide for timelines, protections, and legal resources.
Is Tennessee above or below the national average for financial distress?
Tennessee scores 54.2 on the State Distress Index (moderate state distress), ranking #27 of 51 jurisdictions. That is 4.2 points above the national state average of 50.0. This composite score is built from 4 domains: delinquency, default and legal, debt burden on a housing basis, and labor. Separately, the national American Distress Index reads 43.8 (Typical) for the country over time. On average, its inputs sit higher than in 44% of their own quarterly histories.
How many CFPB mortgage complaints have been filed in Tennessee?
The CFPB has received 6,521 mortgage complaints from Tennessee since 2012, a rate of 91.5 per 100,000 residents. This ranks #30 of 51 jurisdictions. The national average is 133.2 per 100K. Companies responded to 97.9% of Tennessee complaints within the required timeframe.
What is the bankruptcy filing rate in Tennessee?
Tennessee had 21,638 bankruptcy filings in the 12-month period ending Dec 2025, a rate of 303.6 per 100,000 residents — above the national rate of 169.1 per 100K. This ranks #3 of 51 jurisdictions. Chapter 7 filings account for 42.6% and Chapter 13 for 56.6%. Filings changed +8.6% year-over-year.
What percentage of people in Tennessee have debt in collections?
17.3% of individuals in Tennessee have debt in collections, above the national rate of 13.9%. This ranks #11 of 51 jurisdictions. Additionally, 19.4% of Tennessee residents have subprime credit scores (below 620), compared to 16.9% nationally. Data from the Philadelphia Fed Consumer Credit Explorer (NY Fed / Equifax).
What is the SNAP enrollment rate in Tennessee?
591,425 residents of Tennessee receive SNAP benefits, an enrollment rate of 8.2% — below the national rate of 10.9%. This ranks #35 of 51 jurisdictions. SNAP participation has changed -14.0% year-over-year. The pre-pandemic rate was 12.1%.
How strong is Tennessee's financial safety net?
Tennessee scores 54.7 out of 100 on the Safety Net Index, ranking #17 of 51 jurisdictions (Moderate). The score combines Medicaid coverage (18% enrollment rate, non-expansion state), SNAP enrollment (8.2%), Homeowner Assistance Fund status (active), and foreclosure legal protections. The national average is 47.8.
Which Tennessee counties have the highest financial distress?
Hardeman County is the most distressed county in Tennessee with a County Distress Index score of 83.0 · very high county distress, ranking #88 nationally out of 3,144 counties. Shelby County (81.7 · very high county distress), Lauderdale County (80.1 · very high county distress), Lake County (77.8 · high county distress) round out the top distressed counties. Williamson County is the least distressed at 12.4 · very low county distress. See all 95 counties at /counties/tennessee/.
How long can foreclosure take in Tennessee?
Tennessee uses non-judicial foreclosure, which allows lenders to foreclose without court proceedings. In Tennessee, the bank can foreclose in roughly 150–210 days from first missed payment to sale — though individual cases vary with cure periods, mediation, postponements, court backlogs, and bankruptcy filings. Homeowners have a right to cure: The borrower may cure the default (pay all past-due amounts plus fees) at any ti…. The homestead exemption is $5,000. Full details at /help/foreclosure/tennessee/.
Where does Tennessee rank for financial distress?
Tennessee scores 54.2 on the State Distress Index (moderate state distress), ranking #27 of 51 jurisdictions. 1 of 5 key metrics exceed national averages. The highest SDI domain is Default & Legal. County Distress Index details are listed separately by county. The safety net ranks #17 (Moderate) — non-Medicaid-expansion state.
Data Sources
NY Fed Consumer Credit Panel
State-level household debt and delinquency statistics from the Federal Reserve Bank of New York, based on Equifax credit bureau data. Updated quarterly.
American Distress Index
Composite index tracking U.S. household financial distress across five equal-weighted domains. National score as of the latest available quarter.
Tennessee Foreclosure Statutes
State foreclosure law data compiled from primary statutory sources and validated against legal databases. Last verified 2026-03-10.
CFPB Complaint Database
Mortgage complaints filed with the Consumer Financial Protection Bureau, 2012–present. Density calculated using 2024 Census population estimates.
USDA SNAP State Activity
Monthly SNAP participation by state from the USDA Food and Nutrition Service. Enrollment rates computed against 2024 Census population estimates.
U.S. Bankruptcy Courts
Annual bankruptcy filings by chapter and district from the Administrative Office of the U.S. Courts. Per-capita rates computed against 2024 Census population estimates.
Philadelphia Fed Consumer Credit Explorer
Quarterly credit health metrics (collections, subprime share, delinquency, credit-constrained rates) from Equifax via the NY Fed Consumer Credit Panel.
Safety Net Index
Composite score from KFF Medicaid enrollment (2024), USDA SNAP participation (2025), U.S. Treasury HAF program status, and state foreclosure legal protections.