#2,502 Minnesota · 2026

Cottonwood County, Minnesota

Second-least distressed fifth 2,502nd of 3,144 counties nationally · 11,319 residents How this is calculated →
The headline number
3% Cottonwood residents
vs.
4% U.S. median

Near the national median for unemployment — and 11.0× the rate of the healthiest U.S. county (Loving County, TX — 0%).

BLS LAUS (Dec 2025)

Main Findings

Wire lede · 26 words · paste-ready

Cottonwood County, Minnesota ranks 2,502nd most distressed in the United States on the County Distress Index. Cottonwood sits near the national median across major distress indicators.

Key Findings
  • 2,502nd of 3,144 counties on the County Distress Index — Second-least distressed fifth, 59th in Minnesota.
  • 3% of the labor force is unemployed (U.S. median 4%). Unemployment at the 39th percentile nationally.
  • Bankruptcy filing rate at 159 — national median 126, ranked at the 63rd percentile.
  • Transfer-income dependency at 30% — national median 27%, ranked at the 63rd percentile.
  • Delinquency domain score 32 — weight 20.0% of the CDI composite.
County Distress Index cluster map. Cottonwood County, Minnesota and its neighbors colored by distress fifth.
Cottonwood and its 6 geographic neighbors, graded by County Distress Index score. Cottonwood County ranks 2,502nd of 3,144. American Default Research
Wire quote — paste-ready, any angle 21 words

"Cottonwood County ranks in the second-least distressed fifth of U.S. counties. The state rank and domain mix give the county-level context."

— Ross Kilburn, Founder, American Default Research
Analyst quote — for feature use 25 words

"The CDI places this county in the second-least distressed fifth nationally. The rank still belongs in context with state position and the highest-scoring local domain."

— Ross Kilburn, Founder, American Default Research

The Indicators Behind Cottonwood County's CDI Score

Every number traces to a public source. Cottonwood County's value shown alongside MN's median and the U.S. median. Full CSV available for download.

How to read the table. A domain score is a 0–100 composite of the indicators in that domain, where 50 = U.S. county median and higher = more distressed. Percentile is Cottonwood County's national rank among all 3,144 U.S. counties for that indicator, always oriented so higher = more distressed.
Indicator Cottonwood MN median U.S. median Pctile Source
Delinquency — domain score 32 · Rank 2,169 of 3,144
Auto loan delinquency Share of auto loan accounts 60+ days past due 5% 3% 5% 45th Urban Institute (2024)
Credit card delinquency Share of credit card accounts 60+ days past due 3% 3% 5% 17th Urban Institute (2024)
Subprime credit share Share of residents with a credit score below 660 20% 16% 23% 34th Urban Institute (2024)
Default & Legal — domain score 39 · Rank 2,035 of 3,144
Debt in collections Share of residents with a credit file who have debt in collections 14% 12% 23% 15th Urban Institute (2024)
Bankruptcy filing rate Personal bankruptcy filings per 100,000 residents 159 132 126 63rd US Courts F-5A (2025)
Debt Burden (housing basis) — domain score 20 · Rank 2,781 of 3,144
Rent-to-income ratio Fair Market Rent (2BR) as share of median household income 18% 18% 21% 21st HUD FMR × Census ACS (2024)
Severe rent burden (50%+) Share of renter households paying 50%+ of income on rent 12% 19% 18% 19th Census ACS 5-yr (2023)
Labor — domain score 39 · Rank 1,897 of 3,144
Unemployment Share of labor force unemployed 3% 4% 4% 39th BLS LAUS (Dec 2025)
Safety Net & Buffer — domain score 34 · Rank 2,224 of 3,144
Child poverty rate Share of children under 18 below the federal poverty line 14% 11% 18% 32nd Census SAIPE (2023)
Disability rate Share of residents reporting a disability 12% 13% 16% 19th Census ACS 5-yr (2023)
Poverty rate Share of population below the federal poverty line 11% 10% 14% 31st Census SAIPE (2023)
Transfer-income dependency Share of personal income from government transfers 30% 25% 27% 63rd BEA Regional Personal Income (2023)
Uninsured rate Share of residents without health insurance coverage 5% 5% 8% 22nd Census ACS 5-yr (2023)
Data compiled April 2026 from Urban Institute Debt in America (Equifax 2024 panel), U.S. Census Bureau (ACS 5-yr 2023, SAIPE 2023, Business Formation Statistics 2024), Bureau of Labor Statistics (LAUS Dec 2025, QCEW 2024), U.S. Courts Administrative Office (F-5A bankruptcy filings 2025), and HUD Fair Market Rents (FY2024).

Five-Domain Breakdown

The CDI is an equal-weight composite of five family-v1 distress domains. Each domain contributes 20% of the county score.

Labor Primary driver 39
Weight 20% · Rank 1,897 of 3,144
Default & Legal 39
Weight 20% · Rank 2,035 of 3,144
Safety Net & Buffer 34
Weight 20% · Rank 2,224 of 3,144
Delinquency 32
Weight 20% · Rank 2,169 of 3,144
Debt Burden (housing basis) 20
Weight 20% · Rank 2,781 of 3,144

Methodology

The County Distress Index is a 0–100 composite score of household financial distress, computed for all 3,144 U.S. counties. Higher scores indicate greater distress. The index is built from five equal-weighted domains: Delinquency, Default & Legal, Debt Burden, Labor, and Safety Net & Buffer. Each domain is the mean of distress-oriented indicator percentiles; the CDI score is the equal-weight mean of those domain scores.

Data sources include the Urban Institute Debt in America (Equifax consumer credit panel), U.S. Census Bureau (American Community Survey 5-year, Small Area Income and Poverty Estimates, Business Formation Statistics), Bureau of Labor Statistics (Local Area Unemployment Statistics, Quarterly Census of Employment and Wages), U.S. Courts Administrative Office (F-5A bankruptcy filings), and HUD Fair Market Rents. Data vintages range from 2023 to 2025 depending on source; full indicator-level vintage detail is in the methodology document.

For Press & Research

Everything you need to cite Cottonwood County data — in under 60 seconds.

Embed preview — paste into any CMS <iframe src="https://americandefault.org/embed/county/27033/" width="600" height="300" frameborder="0" scrolling="no" style="border:1px solid #e5e7eb;border-radius:8px;" title="Cottonwood County, MN — County Distress Index"></iframe>
Press contact: Ross Kilburn · press@americandefault.org · (307) 264-2992 · same-day response, 9am–6pm ET
Draft wire copy 141-word AP-style article — use freely with attribution
DRAFT · 141 words · for immediate release · cleared for reuse with attribution to American Default Research

WINDOM, Minn. — Cottonwood County ranks 2,502nd among the nation's most financially distressed counties, according to the County Distress Index released this month by American Default Research.

The composite score of 33 out of 100 places Cottonwood in the second-least distressed fifth. Among 3,144 U.S. counties scored, 2,501 counties rank more distressed. Within Minnesota, Cottonwood ranks 59th of 87 counties.

The index, which draws on 16 source indicators from the U.S. Census Bureau, Bureau of Labor Statistics, Urban Institute and federal court filings, finds Cottonwood sitting near the national median across major distress indicators, with no single domain emerging as a clear driver.

"Cottonwood County ranks in the second-least distressed fifth of U.S. counties. The state rank and domain mix give the county-level context," said Ross Kilburn, founder of American Default Research.

Full methodology and county-by-county data are available at americandefault.org/methodology/cdi.

— 30 —

Frequently Asked Questions

What is Cottonwood County's CDI score, and what does it mean?

Cottonwood County scores 33 out of 100 on the County Distress Index, placing it in the second-least distressed fifth. It ranks 2,502nd of 3,144 U.S. counties and 59th of 87 Minnesota counties. Higher county scores indicate more distress.

What drives Cottonwood County's distress score?

The highest-scoring domain is Labor, at a domain score of 39. Unemployment ranks at the 39th percentile nationally.

How does Cottonwood County compare to its neighbors?

Cottonwood County's neighbors span 1 CDI distress fifths. Highest-distress neighbor: Redwood County (32.10, Least distressed fifth). Lowest: Murray County (24.53, Least distressed fifth).

How is the County Distress Index calculated?

The CDI is a 0–100 composite of 16 source indicators across five equal-weighted domains: Delinquency, Default & Legal, Debt Burden, Labor, and Safety Net & Buffer. Data comes from Urban Institute, Census Bureau, BLS, U.S. Courts, HUD, and related public sources. Full methodology →
Ross Kilburn
Written by

Ross Kilburn, Founder

Founder · American Default Research · Seattle, Washington

Two decades working directly with financially distressed American households — from property preservation in 2003, to negotiating over 1,000 short sales during the Great Recession, to foreclosure defense marketing today. Author, The Ark Law Group Complete Guide to Short Sales (Auroch Press, 2013). Founded American Default Research in 2026.

Read more
from Ross →