Credit Trends

Trends by Age

Based on our data, there is clearly a relationship between age and average credit scores. Generally speaking, younger individuals will have lower credits scores on average.

There is a very good technical reason for this phenomenon. The length of your credit history is a factor that goes into the credit score calculation. Since younger individuals will have shorter credit history, they will tend to have a lower credit score all else equal.

The depth of your credit is probably lower with younger individuals as well. The combination of the two effects lead to the lower averages for younger people.

Keep in mind the chart does not mean you can't have high credit if you are young. It just points out the correlations and averages. There are dozens of factors that affect credit scores. Being aware of all the factors is important to being a well informed consumer.

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my credit report says that i am 2000 in debt but the only credit card i have is in the 500's?

asherz13 11 months ago

There could be an erroneous account associated with your credit report. You can view your detailed credit report at AnnualCreditReport.com. That is the free government site. You can also view it at anytime at TrueCredit (charges may apply).

CK Moderator

I am 23 years old, and have a credit score of 677. I am trying to get a personal loan along with my grandfather as a co-signer to pay off my debts of about $8,300. I have never had a late payment, and I have never gone over my credit limits, but at this time a few cards do have high balances.

I know that taking out a loan will cause a negative effect on my credit at this time, but in the long run will it look better since I pay everything on time, and I will only have the balance of my loan to pay off?

I am trying to build up my credit as much as possible at this time.

missskoolgrl 10 months ago

Assuming you use the loan to pay off your credit card balances, and you don't run up the credit cards again, your score should actually go up. By keeping your credit cards open but not used you show that you have access to credit and are not tapping into it.

TRIN115FORD 10 months ago

Quite a surprise. My credit score has fallen from the low 800s to 751, with no change in credit behavior. Credit card paid in full each month, all bills paid ahead of schedule. Only recurring debt is a small first mortgage. Doesn't appear to be any tangible basis for reduction in score. No wonder consumers have difficulty obtaining credit.

ECT 10 months ago

Did you look at the changes in your Credit Report Card? It should help correlated the changes.

CK Moderator

I had the same thing happen to me. My score fell from a 732 to a 676 which puts me in an entirely different rating for credit. My only changes is that I paid off half of my student loans and a personal loan. The change lowered my debt ratio, so paying off debts actually hurt my score.I can increase my back to where it was if I open up more loans. Go figure.

stace8549 10 months ago

Can you share the grade changes in your credit report card?

CK Moderator

I am surprised that our credit score is as low as you state. The one negative is our current credit card is 2.2 years old. We had a card for 28 years & paid the balance monthly. It had fee associated with it & when I retired, I no longer needed it. Then I received our current card. We pay the balance monthly. All large purchases, home (2) auto's were paid for by cash. Just a thought. Thank you.

Tarblooder 10 months ago

A credit score is a measure of how well you pay off debt. If you make large purchases with cash, lenders don't have the data to see how well you would make payments, so it is not surprising that your score is lower. 2.2 years sounds like a 20 year old's credit history, and lenders would probably like to see a history of longer open lines.

Ark03 9 months ago

I am trying to repair my credit but is currently part-time employed. What is make each month is barely enough to keep me on top of my monthly bills. I need guidance to help me build my credit. I am a fairly new resident to this country and do not have much credit history. I am not interested in getting more credit cards. What can I do to build my credit?

alleen 10 months ago

You really need some lines of credit to build your score. Public Savings Bank is a good starting point if you have poor credit. Remember to always pay on time and never spend beyond your means.

CK Moderator

After paying off several cards last year, the creditors closed my accounts within about 60 days after my closing. Stating they based their information on my credit report. How can I help to bring my score up on my report. I have only 2 open cards now, one being a Sears charge card, which they have cut my limit in half and the other being a VISA credit card, which is maxed out. I am currently paying approximately $50 over the limits in an effort to completely pay them off within 24 months. I am hoping to be able to refinance my home after that time, provided the market has improved. My current score is 609, which i know is not great. Any other suggestions to help me improve my scores.

forgetmenot4 10 months ago

Try Public Savings Bank. You can read the feedback yourself. Good Luck.

CK Moderator

My score from Credit Karma/Transunion is 699. The reason given was because my revolving credit debt to limit was high. It said nothing about my bankruptcy. That will be deleted in August 2010 and I pay off my remaining student loan in 7 months. Will either of those things happening raise my FICO significantly from 699 OR will my revolving credit balance being so high keep it around 699 anyway?

teachartmw 10 months ago

Credit scores are have multiple levels. High balances will have a certain effect but other good practices can have positive effects. Use the credit report card and try to move your grades to A's.

CK Moderator

Hi, how come my student loan doesn't show up on my credit score calculations?

If I pay this on a timely basis every month (which I have been for 3 years), will this greatly help my credit score?

LisaKN 9 months ago

Is it not in your credit report card?

CK Moderator

My Score now is 643 from 642. I nearly paid off everything except my car note and student loans (Which are on time or paid early). I use my credit card frequently and pay them off over the course of months but my score hardly moved. I did have a charge off from a Sears credit card years ago (almost 7 to be exacted) that I paid down as a settlement, but in the last month, a collection company decides to call me and collect on it. My question is: 1) Even when I settled on a debt, can a collection company still come after me? 2) Is this what is keeping my score from going up? 3) I am 7 points shy from 650, any tips on getting me there?

Lightlegacy 9 months ago

The charge-off should probably drop off of your report after the full 7 years has elapsed, which will increase your score.

Also, in the case of the collections, don't say anything that they could interpret as you claiming the debt, and tell them that you demand to see written proof of the debt and you don't want to hear from them until you get it. Since it was paid a long time ago, you won't have to worry. They won't have proof of the debt (since there no longer is any debt) and they'll leave you alone. If they keep calling you without providing the proof you ask, you could sue.

GamingG 9 months ago

On the credit compare page, it compares my credit to others in the 35-44 age range, but I'm 25. Did I enter my birthdate wrong, or is the page incorrect?

mvanbeek 9 months ago