Minneapolis residents have the highest average credit score in the nation, according to Experian’s State of Credit 2012 report.
 
The report ranked 143 major U.S. cities based on residents’ VantageScore, a nationally recognized credit score that was developed jointly by major credit bureaus Experian, TransUnion, and Equifax. VantageScore ratings range from 501 to 990 with a higher credit score indicating lower credit risk. To compile its report, Experian analyzed credit files of more than 682,000 Americans.
 
Minneapolis reclaimed the top spot after losing it in 2011 to Wausau, Wisconsin, which took the third spot this year. While this year’s compilation is Experian’s third annual report, Experian said that it has analyzed data since 2007, and Minneapolis has claimed the top spot every year except in 2011.
 
According to the report, Minneapolis residents’ average credit score is 787, higher than the national average of 750. Minneapolis consumers—on average—have 2.16 open credit cards and $24,768 in debt. Nationally, consumers have an average of 1.96 open credit cards and $24,890 in debt, Experian found.
 
Eight of the top 10 cities on Experian’s list are in the Upper Midwest. Trailing Minneapolis on the list—in order of ranking—were Madison, Wisconsin; Wausau, Wisconsin; Sioux Falls, South Dakota; Cedar Rapids, Iowa; San Francisco; Green Bay, Wisconsin; La Crosse, Wisconsin; Boston; and Duluth—which ranked 17th last year and was the only other Minnesota city included in the report.
 
Meanwhile, the study found that several cities that had been hit hard by the recession and the housing crisis—including Las Vegas and Reno, Nevada; Phoenix; and Bakersfield, California—improved their credit scores since last year.
 
VantageScore is a competitor of Minneapolis-based Fair Isaac Corporation (FICO), which has a trademarked credit-scoring system with a range of 300 to 850.