Cedar Rapids consumers handle debt well

CEDAR RAPIDS - Cedar Rapids residents are smart when it comes to managing debt, according to a new NerdWallet study.

The city was listed as the sixth smartest metropolitan area.

NerdWallet, a consumer-oriented financial literacy website, analyzed consumer debt, income and credit scores in 136 metro areas across the nation to find how much each city is borrowing relative to median household income.

'Smart borrowing is not simply about the amount borrowed. The average consumer debt of the 10 metros borrowing the smartest is $25,480, while the average for the 10 areas not borrowing smart is $26,520 - a difference of only $1,040,” the study pointed out.

The study found that the average amount of non-mortgage consumer debt in Cedar Rapids is $25,317, while debt as a percentage of median income is 44.2 percent.

Minneapolis-St. Paul, which was ranked No. 1 for debt management, had an average consumer debt of $25,626 and an average debt as percentage of median income of 38.7 percent.

The 10 cities that managed debt the least smart are all concentrated in the south, with Monroe, La., landing at the bottom of the list.

The city's average consumer debt was $25,509, but its average debt as a percentage of median income was 73.3 percent.