Gen Z consumers are seeing their credit scores fall, a new report has found.

According to data released by score developer FICO, on average, Gen Z's credit score has decreased by three points since 2024, a larger increase than any age group since 2020. FICO classified Gen Z as those ages 18 to 29.

Why It Matters

Credit scores are important as lenders look to them when evaluating whether to approve an application for a mortgage, car loan, or credit card. Scores can become lower when people do not pay their bills on time or use too many bank accounts.

What To Know

FICO sets its range of scores between 300 and 850.

It found that 14.1 percent of Gen Zers had a 50-point credit score decrease. This, they said, was more than any other year.

It blamed student loans as 34 percent of Gen Z co

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