March 19 2024- The national average credit score, as reported by FICO, has fallen to 717, marking the first decrease in over a decade. This decline is attributed to increases in missed borrower payments and rising consumer debt levels. Credit scores had been steadily improving for years but began to decline due to higher credit card utilization rates and a rise in the number of borrowers with past-due missed payments. Consumers have increasingly relied on credit cards, potentially leading to the decrease in credit scores. This marks a shift from the trend of steadily increasing credit scores seen over the past decade, with scores reaching a high of 718 in early 2023 before declining.
Credit scores decrease for the first time in a decade as more borrowers fall behind on payments
Updated on March 19, 2024