You can achieve the highest FICO Score in the world. This score is a snapshot of a person's creditworthiness based on statistics about loan defaults. It varies from one person to another but, regardless of the number, it does not necessarily mean that you're a high credit risk.
Silent Generation
The Silent Generation, an older cohort of consumers has the highest average score for credit. These people have managed their credit for longer than anyone else, which has resulted in a higher average score. These people also have lower credit card balances and less credit cards.
Additionally, they are more financially secure as they have more experience and are more likely be retired. They are more likely to invest in income and not rely on their paychecks. They tend to have higher average scores that younger people.
Mississippi
The average credit score for the United States is 680. In Mississippi, the average credit score falls in the "good" category. However, the average American still carries an average of 2.6 store cards and three regular credit cards. The average American has less debt overall and credit card debt today than 10 years ago.
Good news: Mississippi is not the only state with low credit scores. In fact, the average score in Mississippi is now 675, up eight points from the previous year. And while this isn't the best news for those in the Magnolia State, it's still well above the national average.
Millennials
Credit scores are affected largely by credit history. The average millennial has a fico score 670. But, it is not without risk. A study has shown that almost a third (33%) of the millennial population were rejected for financial products in 2020. Lenders were motivated to tighten their requirements by this statistic.
Although the average credit score has been rising over the last few decades for all generations, the Millennials saw their credit score rise the most between 2020 and 2021. Their average score increased from 648 up to 667. It declined slightly thereafter. The Silent Generation suffered a less dramatic decline, with its score dropping from 730 to 727. A higher credit score could open up many opportunities, such as obtaining lower-interest loans or securing a house.
Older Americans
FICO data indicates that credit scores of older Americans are at their highest when they are in their mid-to late 60s. The FICO(r) scores of this age group increase by more that twenty points. This is because older people are more likely than younger to have made regular payments. Many 60-year olds have paid off their debt.
This is why their FICO(r score) is the highest among seniors. While younger consumers see a decrease in their score over the course of a decade, older consumers see an increase. For instance, the average FICO (r) score of consumers aged 20-35 dropped by 11 percentage points between the ages twenty-three and thirty. The increase in score, however, was greater in older Americans, who grew up with more debt than younger consumers.