Despite ongoing economic challenges, the average credit score among U.S. consumers has remained steady at 714 since October 2025, according to the latest report from FICO, the company behind the widely used credit scoring model. However, the data reveals underlying affordability pressures impacting many Americans, particularly those with lower scores or limited credit histories.

FICO’s report highlights that while overall scores have not declined, housing and vehicle payments have risen at rates exceeding inflation, contributing to increased financial strain. The average monthly mortgage payment for a first-time homebuyer, for instance, has surged to $2,563 compared to $1,635 in April 2019, marking a 57% increase. Similarly, auto loan amounts have increased faster than general price levels, with consumers financing higher loan balances amid continuing inflationary pressures.

Among demographic groups, younger Americans have shown notable credit score improvements relative to pre-pandemic levels. Generation Z (ages 18-29) and millennials (ages 30-44) have experienced gains of 17 and 10 points, respectively. This progress reflects stronger credit management behaviors, including timely payments and debt control. Nevertheless, many younger consumers continue to face financial challenges, particularly from elevated housing costs. Approximately 70% of Gen Z and more than half of millennials report that housing expenses complicate their ability to cover other bills, even as a majority in both groups rely on ongoing financial support from family or others.

Middle-aged consumers, classified as Generation X (ages 45-59), have seen a modest six-point rise in average FICO scores since 2019 but recently recorded the largest decline among all age cohorts since the national average peaked in April 2023. This group also exhibits the most significant growth in credit card debt. Financial pressures for Gen X are attributed to their unique position of supporting both children and aging parents, as well as contending with persistent inflation and higher interest rates.

Older Americans aged 60 and over have maintained stable credit scores, with an average around 752, and show comparatively less fluctuation in credit trends.

In terms of payment prioritization, automobiles top the list of bills paid on time, followed by mortgages. Delinquency rates for auto loans over 90 days stood at 3.0% between 2024 and 2026, slightly below the 3.6% rate for mortgages. Personal loans, credit cards, and student loans typically rank lower in payment priority. Notably, many borrowers have deferred student loan payments since 2020 due to COVID-19 forbearance provisions, with new repayment plans introduced in July 2026 expected to influence future trends.

Among student loan holders, repayment obligations are linked to increased reliance on credit cards and other loans to manage expenses. More than half of all borrowers report such financial strain, with younger groups more acutely affected. Recent student loan delinquencies correspond to average FICO score decreases of 38 points compared to the previous year, while borrowers who have since entered repayment plans or remained current have generally seen score improvements.

Despite a 3.8% rise in average credit card balances to $7,793 over the past year, overall credit utilization rates have slightly declined due to rising credit limits, particularly for individuals with higher scores. This divergence suggests that consumers with stronger credit profiles benefit from increasing borrowing capacity, while those facing affordability challenges carry higher balances. The largest increases in average credit card debt since 2019 are concentrated among Generation Z and Generation X, with balances up roughly 26% and 25%, respectively.

FICO emphasizes that stable average credit scores may mask the nuanced financial pressures consumers face amid inflation and evolving economic conditions, underscoring the need for ongoing monitoring of credit health across demographic segments.