"A new FICO analysis found that the average American's credit score decreased two points to 715 since 2024, down for the second year in a row as Americans grappled with inflation, high interest rates, and changes to student-loan repayment."
""Gen Z consumers have had less time to build savings, and are less likely to benefit from stock market gains and home price appreciation," the analysis said. "Instead, they are more likely to have affordability issues and more likely to face the impacts of higher interest rates and inflation.""
Average American credit score decreased two points to 715 since 2024, marking a second consecutive annual decline amid inflation, high interest rates, and student-loan repayment changes. Younger consumers faced larger strains: Gen Z (ages 18–29) experienced a three-point average drop, the largest year-over-year decline since 2020, and 14.1% of Gen Zers saw 50-point score drops over the past year. Thirty-four percent of Gen Zers have open student loans, double the population rate. Buy Now, Pay Later loans will be incorporated into credit scores this fall, and 29% of Americans rely on those loans to cover income gaps.
Read at Business Insider
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