Iowa Financial Distress Profile
Composite distress data for 99 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
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Iowa ranks #41 nationally for household financial distress. County Distress Index details are listed separately for its 99 counties. The national State Distress Index average is 50.0.
How Does Iowa Compare to the National Average?
Iowa is above the national average on 0 of 5 key household distress metrics. Credit card delinquency stands at 10.3% (below the 12.4% national rate), auto loan delinquency at 3.5%, and total debt per capita at $47,410.
Since 2019, credit card delinquency in Iowa has risen 3.3pp and total household debt has grown 16.4%. Most metrics remain below the national baseline.
Key Statistics at a Glance
State Distress Index: Iowa
Domain Breakdown
The national American Distress Index reads 44.6 (Typical). On average, its inputs sit higher than in 45% of their own quarterly histories since 2005. Iowa's State Distress Index of 29.5 (Second-least distressed fifth) is computed from 4 equal-weighted domains covering delinquency, default and legal signals, labor, and the safety-net buffer.
Iowa 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)Iowa 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 Iowa (#41) on the State Distress Index. Peer comparison reveals whether distress patterns are regional or structural.
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 | 7.0% | 10.3% | +3.3pp | 12.4% |
| Auto Loan Delinquency | 2.9% | 3.5% | +0.6pp | 5.2% |
| Mortgage Delinquency | 0.68% | 0.81% | +0.1pp | 0.94% |
| Total Debt per Capita | $40,740 | $47,410 | +16.4% | $63,200 |
| CC Balance per Capita | $2,650 | $3,250 | +22.6% | $4,350 |
Iowa Foreclosure Law Summary
Understanding your state's foreclosure process is critical if you fall behind on mortgage payments. Iowa primarily uses judicial foreclosure.
Iowa requires judicial foreclosure for standard residential mortgages. The lender files a civil foreclosure petition in the District Court of the county where the property is located.
- Post-sale redemption: 12 months from the date of the sheriff's sale (regular track). Agricultural prop…
Unlimited Homestead, but Delinquency Tells the Story
Iowa's unlimited homestead exemption protects home equity from most creditors — one of the strongest protections in the country. But homestead protection doesn't prevent households from falling behind. Credit card delinquency of 10.3% sits below the national 12.4%, and the state's Distress Index reads 29.5 (Second-least distressed fifth). The exemption helps in bankruptcy — it doesn't stop the path there.
Distress by County
The County Distress Index scores every county in Iowa on a 0-100 scale using five equal-weighted domains: delinquency, default and legal, debt burden, labor, and safety net and buffer. Iowa's 99 counties average 26.0 — below the national county mean of 50.0.
Distress Fifth Distribution
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Most Distressed Counties
| County | Score | Distress Fifth | Top Driver |
|---|---|---|---|
| Wapello County | 56.2 | Second-most distressed fifth | Debt Burden (housing basis) |
| Des Moines County | 53.0 | Middle fifth | Debt Burden (housing basis) |
| Black Hawk County | 45.8 | Middle fifth | Debt Burden (housing basis) |
| Lucas County | 44.1 | Second-least distressed fifth | Debt Burden (housing basis) |
| Appanoose County | 43.2 | Second-least distressed fifth | Safety Net & Buffer |
Wapello County ranks #1249 most distressed nationally out of 3,144 counties.
Least Distressed Counties
| County | Score | Distress Fifth | Top Domain |
|---|---|---|---|
| Lyon County | 6.8 | Least distressed fifth | Safety Net & Buffer |
| Winneshiek County | 7.8 | Least distressed fifth | Debt Burden (housing basis) |
| Sioux County | 9.1 | Least distressed fifth | Debt Burden (housing basis) |
| Howard County | 11.8 | Least distressed fifth | Safety Net & Buffer |
| Bremer County | 12.3 | Least distressed fifth | Default & Legal |
The gap between Iowa's most and least distressed counties is 49.4 points — Wapello County (56.2, Second-most distressed fifth) vs. Lyon County (6.8, Least distressed fifth). That spread reveals two very different economic realities within the same state.
Explore all 99 Iowa counties →CFPB Mortgage Complaints in Iowa
The Consumer Financial Protection Bureau has received 1,424 mortgage complaints from Iowa since 2012 — 44.4 per 100,000 residents, below the national rate of 129.3 per 100K. Iowa ranks #50 of 51 jurisdictions for complaint density.
| Year | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|
| Complaints | 93 | 112 | 72 | 75 | 86 | 105 |
Source: CFPB Consumer Complaint Database. Filed a mortgage complaint? Search the complaint database.
Bankruptcy Filings: Iowa
Bankruptcy filings reflect the downstream consequence of sustained financial distress — when households exhaust savings, fall behind on debt, and run out of alternatives. Iowa's filing rate is below 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: Iowa
The Philadelphia Fed Consumer Credit Explorer tracks credit health metrics from Equifax data. 11.7% of Iowa residents have debt in collections — below the national rate of 13.9%. 12.5% have subprime credit scores (below 620), and 32.5% are credit-constrained.
Source: Philadelphia Fed Consumer Credit Explorer. Data from NY Fed Consumer Credit Panel / Equifax. 2025 Q1.
Economic Context: Iowa
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: Iowa
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. Iowa scores 31.4 out of 100 (Weak), ranking #45 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 Iowa?
The credit card delinquency rate in Iowa is 10.3% as of Q4 2025, ranking #35 among all states and DC. The national average is 12.4%. This rate has risen from 7.0% in 2019.
How does Iowa's household debt compare to the national average?
Iowa residents carry $47,410 in total debt per capita, below the national average of $63,200. Debt per capita has grown 16.4% since 2019. Iowa ranks #44 nationally for total household debt per capita.
What is the auto loan delinquency rate in Iowa?
Auto loan delinquency in Iowa stands at 3.5% as of Q4 2025, below the national rate of 5.2%. This ranks #39 nationally. The rate has risen from 2.9% in 2019.
What type of foreclosure process does Iowa use?
Iowa primarily uses judicial foreclosure. This means foreclosures must go through the court system, giving homeowners more time and procedural protections. See our full Iowa foreclosure law guide for timelines, protections, and legal resources.
Is Iowa above or below the national average for financial distress?
Iowa scores 29.5 on the State Distress Index (Second-least distressed fifth), ranking #41 of 51 jurisdictions. That is 20.5 points below the national state average of 50.0. This composite score is built from 4 domains: delinquency, default and legal, labor, and safety net and buffer. Separately, the national American Distress Index reads 44.6 (Typical) for the country over time. On average, its inputs sit higher than in 45% of their own quarterly histories since 2005.
How many CFPB mortgage complaints have been filed in Iowa?
The CFPB has received 1,424 mortgage complaints from Iowa since 2012, a rate of 44.4 per 100,000 residents. This ranks #50 of 51 jurisdictions. The national average is 129.3 per 100K. Companies responded to 98.4% of Iowa complaints within the required timeframe.
What is the bankruptcy filing rate in Iowa?
Iowa had 3,738 bankruptcy filings in the 12-month period ending Dec 2025, a rate of 116.6 per 100,000 residents — below the national rate of 169.1 per 100K. This ranks #33 of 51 jurisdictions. Chapter 7 filings account for 82.1% and Chapter 13 for 16.7%. Filings changed +19.7% year-over-year.
What percentage of people in Iowa have debt in collections?
11.7% of individuals in Iowa have debt in collections, below the national rate of 13.9%. This ranks #27 of 51 jurisdictions. Additionally, 12.5% of Iowa 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 Iowa?
247,380 residents of Iowa receive SNAP benefits, an enrollment rate of 7.7% — below the national rate of 11.2%. This ranks #38 of 51 jurisdictions. SNAP participation has changed -5.8% year-over-year. The pre-pandemic rate was 9.3%.
How strong is Iowa's financial safety net?
Iowa scores 31.4 out of 100 on the Safety Net Index, ranking #45 of 51 jurisdictions (Weak). The score combines Medicaid coverage (18.9% enrollment rate, expansion state), SNAP enrollment (7.7%), Homeowner Assistance Fund status (exhausted), and foreclosure legal protections. The national average is 48.1.
Which Iowa counties have the highest financial distress?
Wapello County is the most distressed county in Iowa with a County Distress Index score of 56.2 (Second-most distressed fifth), ranking #1249 nationally out of 3,144 counties. Des Moines County (53.0), Black Hawk County (45.8), Lucas County (44.1) round out the top distressed counties. Lyon County is the least distressed at 6.8 (Least distressed fifth). See all 99 counties at /counties/iowa/.
How long can foreclosure take in Iowa?
Iowa uses judicial foreclosure, meaning every foreclosure goes through the court system. In Iowa, the bank can foreclose in roughly 90–365 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: Under the regular track, the borrower may cure the default at any time before th…. The homestead exemption is Unlimited value. Full details at /help/foreclosure/iowa/.
Where does Iowa rank for financial distress?
Iowa scores 29.5 on the State Distress Index (Second-least distressed fifth), ranking #41 of 51 jurisdictions. Most metrics fall below national averages. The highest SDI domain is Default & Legal. County Distress Index details are listed separately by county. The safety net ranks #45 (Weak).
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.
Iowa 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.