Average Credit Score by State, Gender, Race, and Age

Although the prices of services and goods went up year-over-year in 2023, this still marked an increase of 1 point from 2022. This was the sixth consecutive year of nationwide credit score growth. On the whole, the average score has gone up by 26 points over the last 13 years — from 689 in 2010.

(Experian)

All three national credit bureaus — TransUnion, Equifax, and Experian — consider 850 to be the perfect credit score. All scores above 800 are deemed excellent, while scores between 740 and 799 are considered very good. A credit score between 670 and 739 is good, a score between 580 and 669 is fair, and a score between 300 and 579 is deemed poor. On the commonly used FICO scale, the lowest credit score possible is 300, but very few people actually score that low.

(Credit Karma)

The latest FICO report reveals that the share of Americans with a perfect credit score was significantly up from 1.14% in 2019, 0.98% in 2014 and 0.85% in 2009. This is in line with the general credit score growth and mirrors the economy’s upward trajectory following the financial crash. Hawaii has the largest share of people with the highest credit score possible — 2.62%. The top 5 also includes Connecticut (2.32%), New Jersey (2.38%), Minnesota (2.27%), and Massachusetts (2.32%).

It is the first time all of the top 5 states have more than 2.3% of residents with the top credit score.

(FICO Blog)

As of Q2 of 2022, the lowest 25% of mortgage applicants averaged 720, while the lowest 10% averaged 664. Applicants typically need a score of at least 620 to take out a conventional loan, while a fair credit score of 580 may be enough for a Federal Housing Administration (FHA) loan. The US Department of Agriculture (USDA) requires 580–640 for applicants to qualify for a loan, and the Department of Veteran Affairs (VA) typically requires a score in the low-to-mid 600s.

(Federal Reserve Bank of New York, Apex Home Loans)

The average score for new car buyers was up by 3 points from 729 in Q2 of 2020. Typically, the credit score requirements for used cars are lower. In Q2 of 2021, the average was 665 — but this marked a massive ten-point increase from 655 a year earlier. Despite stricter credit score requirements, the number of people applying for car loans was back to its pre-pandemic levels. In the first eight months of 2021, 32 million Americans applied for car loans, 15% up from 2020.

(Experian)

The average credit score in the North Star State is 3 points up from 739 in 2020. Other states with high average credit scores include Vermont (736), Wisconsin (735), New Hampshire (734), and Washington (734). In total, 33 states scored at or above the nationwide average of 714. Looking at the average credit score by state, Mississippi ranked the lowest with 680. The bottom of the list also includes Louisiana (689), Alabama (691), Texas (693), and Oklahoma (693).

(Experian)

Not exactly a city, this census-designated retirement community in Sumter County has 81,444 citizens whose median credit score in 2021 was 806. The top five also included two Arizona cities, Sun City West (792) and Oro Valley (789), and two California cities, Santa Monica (789) and Laguna Woods (788). On the other hand, credit score facts point to Glendale, Arizona, as the city with the lowest median score in the US — at 517, its credit rating is considered poor.

(WalletHub)

Looking at the average credit score by age, members of the silent generation (77 and over) and baby boomers (aged 57–75) had the highest credit scores in 2023. They averaged 760 and 742, respectively, putting them above the national average of 715. All other age groups scored below this number, with the oldest group faring the best. In 2021, Gen-Xers (41–56) had an average credit score of 706, millennials (25–40) scored 687, and Gen-Zers (18–24) averaged 679 - similar to previous years.

(Experian)

Most people don’t start building credit until adulthood, so it’s no surprise that the average credit score by age 18 is relatively low at 631. Despite this, young adults can gradually improve their credit scores with responsible financial practices. To that point, research reveals that 56% of young people aged 18–19 and 72% aged 20–34 are actively building credit. The same applies to 30% of people aged 35–49, 15% of those aged 50–64, and 5% of people aged 65 and over.

Learn More: Best Credit Cards for 18-Year-Olds

(Credit Sesame)

As most college students are aged 18–24, this means that they score significantly lower than their age group overall (679 in 2021). This further suggests that their non-student peers have a much higher credit score, which isn’t a surprise, considering that most college-age adults are burdened with student loans and other associated debt. Still, students need a good credit score to take out loans — according to research, most lenders require a score in the mid-to-high 600s.

(Tally, Experian, Forbes)

Asian Americans are the only ethnic group with a very good average credit score; all other large racial groups have a good credit score. White Americans averaged 734 in 2019, and Hispanics scored 701. Black Americans ranked significantly lower than other groups with an average score of 677, but this is still within the good credit score range (670–739) on the FICO scale. Finally, all other ethnic groups combined averaged 732, placing them third in the overall ranking.

(Investopedia)

A 2020 report from the Federal Reserve Bank of New York found that credit score distribution among Americans is proportional to their financial situation. Namely, those living in high-income neighborhoods have an average score of 774, far higher than the national average. Meanwhile, Americans in middle-income neighborhoods average 735, people in moderate-income communities scored 692, and those in low-income neighborhoods averaged 692.

(Federal Reserve Bank of New York)

Studies suggest this could be in part to these races making up a higher proportion of the rental market in the US. This being said, some credit scoring companies are trying to balance this out by tracking payments on things like utility bills.

According to research, 62% of customers with a credit score in the 300–579 range are likely to go 90 or more days past due on their debt repayments. Moreover, many creditors divide loan applicants into two groups — prime (credit score of 670 and above) and subprime (below 670). In 2021, 30% of Americans — nearly 1 in 3 — had a subprime credit score. While this was substantial, it was considerably lower than the 34% recorded a year earlier.

(Experian)

Credit score statistics by race reveal the same is true of 41% of Hispanic Americans and 37% of White Americans. At the same time, only 18% of Asian Americans fall into this group. While 30% of Blacks and Hispanics feel they didn’t have a fair chance to build credit, only 26% of White Americans and 20% of Asian Americans share this belief. Finally, 34% of Blacks, 32% of Hispanics, and 20% of Asian Americans feel their credit score could harm their life prospects.

(PR Newswire)

American credit score statistics show that 11% of the country’s adult population has no credit history with any of the three national credit bureaus. A further 21 million American adults (8%) are deemed “unscorable,” meaning there isn’t enough data on the record to calculate their credit score. With another 57 million (22%) classified as subprime, this means that 41% of Americans would either have their loan applications denied or be forced to accept higher interest rates.

(Oliver Wyman)

This practice is also legal in the District of Columbia. And while 11 US states ban this practice, facts about credit score point to exceptions that exist in these states. They are typically limited to jobs in the finance sector that require handling money. Nationwide, 60% of employers admit to checking some applicants’ credit scores, while only 13% do so for every candidate. In both cases, job applicants must give written permission for the employer to check their credit score.

(WalletHub)

According to credit repair statistics from a recent survey, nearly a third (32%) of Americans who have used credit repair services say they paid $750 or more for them. Another 31% say repairing their credit score cost them between $250 and $500, while 17% spent less than $250. As for the results, 26.3% of credit repair customers say they managed to boost their score by 100–150 points, while 15.4% say their credit score went up by more than 150 points.

(FinMasters)

While the US has had credit bureaus since the early 1800s, it wasn’t until 1989 that Fair, Isaac, and Company (FICO) created the first universal credit score. Before that, bureaus would keep track of consumers’ lending histories and make decisions based on their records. However, subjective opinions and biases often played a part, prompting the US Congress to pass several laws, including the 1970 Fair Credit Reporting Act and the 1974 Equal Credit Opportunity Act.

(VERIFY)

Although there are other scoring methods, the vast majority of US creditors use the FICO score, statistics show. This model takes into account five factors and weighs each of them differently. The two most important factors are a person’s payment history (35%) and the amount of money they owe (30%). Other factors include the length of time the person has had credit (15%), how often they apply for new credit (10%), and the variety of credit products they have (10%).

(CNBC)

Credit report facts point to a decreasing number of people regularly reviewing their credit reports. For comparison, the share of Americans who had checked their credit reports in the previous year stood at 39% in 2019 and 37% in 2018. This is particularly problematic, seeing as credit card fraud attempts went up during the global pandemic. A staggering 80% of Americans aged 75 and over didn’t review their credit report in 2020, putting them at a higher risk of fraud.

(LendingTree)