20 U.S. Cities Where You’re Most Likely to Go Bankrupt

Unless you’ve somehow found a way to successfully plant a money tree, you know how important it is to manage your finances. Although the recession in the United States has ended, many people are still struggling to get back on their feet and make things work. Now that there’s a new generation of people who have witnessed just how quickly things in the economy can change, many people are realizing how crucial it is to plan ahead and prepare for the future. However, depending on where you live in the country, you may have it harder than others. If you want to hang on to your money, you might want to be careful before heading to these cities. Here are 20 U.S. cities where you’re most likely to go bankrupt.

 (Photo Illustration by Tim Boyle/Getty Images)

Fresno, CA

In recent years, the economy in Fresno has been struggling. Not only is the city itself having a hard time keeping up, but people living in Fresno are also dealing with high poverty and unemployment rates. As a result, staying afloat in the city has proven to be a difficult task.

 (Photo Illustration by Alex Wong/Getty Images)

Miami

Over the years, Miami has become one of the most popular vacation destinations in the United States. But while visiting Miami may seem like a fun and glamorous thing to do, living in Miami can often be a different story. The city has a high rate of poverty, and has been known to have a bit of an unstable economy. Even for those who do make a decent living, Miami can be expensive, and is also a place where people may be encouraged to live beyond their means.

(Photo by Joe Raedle/Getty Images)

Newburgh, NY

Located about an hour outside of New York City, Newburgh is a smaller city with a lot of big issues. The city has been struggling with crime and poverty for years. Those things coupled with high unemployment rates have made it difficult for residents to stimulate the local economy.

(Photo by Spencer Platt/Getty Images)

Memphis, TN

Several reports have stated that bankruptcy rates in the United States are among the lowest they’ve been in years. Unfortunately; however, that doesn’t hold true for the city of Memphis. Although most of the surrounding areas seem to be enjoying low bankruptcy rates, Memphis’ rate has been reported at nearly twice the amount.

 (Photo by Carlo Allegri/Getty Images)

Lubbock, TX

Unfortunately, for the last few years, things in Lubbock have been on the decline with very few signs of improvement. The rate of poverty in the city of Lubbock is higher than state average, and many residents are definitely feeling the repercussions. This is one time when the saying ‘everything is bigger in Texas’ doesn’t mean anything good.

(Photo by Ronald Martinez/Getty Images)

Jackson, MS

Jackson is located in one of the poorest states in the country, and Mississippi also has one of the highest instances of bankruptcy among its residents. According to Credit.com’s 2014 report, the state of Mississippi averaged 3.62 bankruptcies per 1,000 people. Although there are no specific numbers for the city of Jackson, reports on the areas crime and poverty rates suggest that residents are facing serious financial hardships that can ultimately lead to bankruptcy.

(Photo by Marianne Todd/Getty Images)

Los Angeles

Los Angeles is often considered one of the most glamorous cities in the country. Each year, millions of people head to the city to see the sights, and many hope that they will run across a few celebrities in the process. However, those living in L.A. can tell you first hand just how expensive the city can be. Those renting apartments in the city are paying well over the national average, and the city’s culture of trying to have it all can often lead people to financial ruin.

(Photo by Frazer Harrison/Getty Images)

New York

New York City is arguably one of the most exciting places in the world. However, New York is also a notoriously expensive city which also suffers from a high poverty rate. In fact, over the last several years, the poverty rate in the city has increased which has caused the income gap to widen. Experts also suggest that the number of bankruptcies will continue to increase as residents struggle to make ends meet.

(Photo by Spencer Platt/Getty Images)

Atlanta, GA

Atlanta has quickly become a really popular city among young professionals. Although the city does have a relatively low-cost of living, the state of Georgia as a whole has high bankruptcy rates which clock in at a little over 5 per 1,000 residents.

 (Photo by Scott Cunninghaml/Getty Images)

Tampa, FL

In recent years, the local economy in Tampa has certainly seen a lot of improvement, and because of that the city has also seen a drop in the number of bankrupt residents. In fact, the bankruptcy rate dropped more than 10% between 2014 and 2015, but even with that being said, Tampa isn’t in the clear yet, and reports indicate that while the number of new filings have gone down, the number of repeat filers has increased greatly.

 (Photo by Joe Raedle/Getty Images)

Las Vegas

When you think of Las Vegas, money is probably one of the first things that comes to mind. But while tourists enjoy spending money in the city, many residents are facing some serious financial difficulties. Although Las Vegas has seen a decrease in the number of bankruptcy filings between this year and last, the city still has a long way to go.

(Photo by Ethan Miller/Getty Images)

Providence, RI

Providence is a relatively small city, so it may be hard to believe that bankruptcy is an issue. However, here’s one case where size doesn’t matter much. Providence is dealing with some serious issues, and the city’s economy isn’t doing well.  While some suggest that the city itself is on the verge of filing for bankruptcy, there are a good number of residents who aren’t too far behind.

(Photo by Darren McCollester/Getty Images)

 

San Diego

San Diego is a beautiful city, and it’s also one of the most popular in California. But, as you probably already know – you get what you pay for. With that being said, San Diego is an expensive city that can definitely send people’s pockets into overdrive. Trying to ‘keep up’ in San Diego can really have you dealing with some serious consequences.

(Photo by Sandy Huffaker/Getty Images)

Gadsden, AL

Gadsden, AL is the poorest city in the state, and sadly, Alabama has one of the highest instances of bankruptcy in the country. Things in Gadsden are exceptionally poor due to a lack of resources. With a struggling local economy and no sign of change, the people of Gadsden have a long road ahead of them.

(Photo by Tim Boyle/Getty Images)

Albuquerque, NM

Over the last few years, things in Albuquerque have certainly been improving. The city has seen a decrease in overall bankruptcy filings, but high unemployment and poverty rates have kept the city teetering on the cusp of seeing the number of bankruptcies rise.

 (Photo by Neil Jacobs/Getty Images)

New Orleans

Even 10 years after Hurricane Katrina tore through New Orleans, the city is still finding difficulty rebuilding. Although New Orleans has made great strides, the local economy is certainly improving, many residents – especially those who were poor before Katrina – have found themselves in a deep financial hole.

(Photo by Mario Tama/Getty Images)

Chicago

Sadly, over the last several years, Chicago has turned into a city that is riddled with gun violence. Things in Chicago have gotten so bad that some people speculate that the city itself may file bankruptcy. While several reports indicate that that probably won’t happen, the state of Illinois does have one of the highest rates of bankruptcy with 4.68 per 1,000 people filing on average.

(Photo by Scott Olson/Getty Images)

Philadelphia

Everything isn’t all good in the City of Brotherly Love. Unfortunately, Philadelphia has an extremely high rate of poverty that is only continuing to rise. As a result, many people are having to give up their homes, and file for bankruptcy.

(Photo by Spencer Platt/Getty Images)

Cleveland

Cleveland is another city dealing with some serious financial issues, which have also trickled down to the residents. Like many cities, Cleveland has seen a decrease in bankruptcy filings over the last few years, but some local lawyers say that it’s only a matter of time before the number filings rise again, and that they are likely to come back with a “vengeance.”

(Photo by Jeff Swensen/Getty Images)

Detroit

Detroit’s financial issues are among the most well-known in the country. In 2013, the city filed for Chapter 9 bankruptcy, and the failing local economy has a lot of people who call the city home feeling the heat. From blue-collar workers to small business owners, many residents are finding themselves on the brink of bankruptcy.

(Photo by Bill Pugliano/Getty Images)