Title: CredAbility Consumer Distress Index for Knoxville, TN (MSA) (DISCONTINUED) Series ID: CCDIOA28940Q156N Source: CredAbility Nonprofit Credit Counseling & Education Release: CredAbility Consumer Distress Index (Not a Press Release) Seasonal Adjustment: Not Seasonally Adjusted Frequency: Quarterly Units: Percent Date Range: 2005-01-01 to 2013-01-01 Last Updated: 2013-05-17 2:01 PM CDT Notes: Overview of the Index The Index is a quarterly comprehensive picture of the average American household’s financial condition. Built by assessing the key elements of financial health and distress, it converts a complex set of factors into a single, easy to understand number. Scope and History The index measures the U.S., all 50 states and more than 70 MSAs. The national and state versions date back to 1980 and the MSA versions date back to 1990. Public Data and Proprietary Methodology We use more than 65 data points from government, public and private data and a proprietary methodology for compiling, combining and evaluating data. With nearly 50 years of experience and insight into helping consumers in financial distress, we know the biggest causes of distress, how people react to financial challenges and proven strategies for regaining control. (Note: Our client data is not a data source for the Index) Measured on a 100 Point Scale Financial distress is measured on a 100 point scale and a score under 70 indicates financial distress. The lower the score equals more distress, a weaker financial position, more urgency to act, takes longer and is harder to resolve, and increases the probability of needing a third party help to resolve. The Index score is tied to one of 5 general rating categories, which reflect the strength and stability of the consumer’s position. Less than 60 Emergency / Crisis 60 – 69 Distressed / Unstable 70 – 79 Weakening / At-Risk 80 – 89 Good / Stable 90 and Above Excellent / Secure What Does the Index Measure? We measure the 5 categories of personal finance that reflect or lead to a secure, stable financial life—Employment, Housing, Credit, Household Budget and Net Worth. All are equally important, so have given each category equal weighting. Employment. Stable income is the foundation of any family’s finances. This category measures the impact of unemployment and underemployment on financial health. Key Measures: Unemployment, Underemployment Sample Data Source: Department of Labor, Bureau of Labor Statistics Housing. Safe, affordable housing is a priority for all families. This category measures how consumers are paying their mortgage/rent and the impact of housing costs on their finances. Key Measures: Mortgage and Rental Delinquencies, Housing as Percent of Budget Sample Data Source: National Delinquency Survey Credit. Responsible use of credit creates more borrowing options and lower costs. This category assesses the strength of credit scores and how well families manage their credit. Key Measures: Credit Scores, Trade Line Utilization, Credit Delinquencies, Per Capita Bankruptcies Sample Data Source: National Credit Bureau Household Budget. Spending less than you make is the daily choice that leads to long-term success. This category measures families’ spending patterns and saving for emergencies. Key Measures: Disposable Income, Savings, Consumer Confidence Sample Data Source: Department of Commerce, Bureau of Economic Analysis Net Worth. Strong, positive net worth creates options and independence. This category measures how well consumers are strengthening their personal balance sheets. Key Measures: Household Net Worth, Net Worth versus Funds Required for Long-Term Needs (e.g. retirement) Sample Data Source: Federal Reserve Flow of Funds, Survey of Consumer Finances DATE VALUE 2005-01-01 77.672451227332 2005-04-01 77.630704697478 2005-07-01 76.997935521329 2005-10-01 74.764921487318 2006-01-01 79.931035666099 2006-04-01 79.383559416541 2006-07-01 78.141623434894 2006-10-01 80.839679962712 2007-01-01 79.682078709783 2007-04-01 80.491169183702 2007-07-01 79.842207784839 2007-10-01 79.190478786548 2008-01-01 75.887627020970 2008-04-01 74.447510186451 2008-07-01 72.327844720423 2008-10-01 73.452764156673 2009-01-01 65.532824243467 2009-04-01 67.472084940611 2009-07-01 66.325874427028 2009-10-01 65.646734537332 2010-01-01 67.116366663464 2010-04-01 68.612277500530 2010-07-01 68.914350671335 2010-10-01 68.470664761563 2011-01-01 68.708884963707 2011-04-01 69.561076440975 2011-07-01 67.532291293618 2011-10-01 68.374966503363 2012-01-01 69.653984795851 2012-04-01 70.643203272666 2012-07-01 71.377150000000 2012-10-01 74.040347166846 2013-01-01 69.429396905896