Average American Credit Score: What It Is and What It Means for You

The average American credit score is 713, according to Experian's September 2025 data. That's based on the FICO Score model, which most major lenders use. It's a two-point drop from 2024 and the first decline in the national average since 2013.

Has the Average Credit Score Changed Over Time?

Not dramatically — but the direction shifted. For over a decade, the national average crept upward. Then in 2025, it dipped. The 2024 average was 715 — and in 2020 scores were notably lower across the board, meaning most Americans are still in better credit shape than they were five years ago, even with the recent pullback.

What changed in 2025? A mix of things: higher everyday costs, rising unemployment from historically low levels, record-high rejection rates on mortgages and auto loans, and the end of the SAVE student loan repayment program — which pushed monthly payments up for millions of borrowers. These aren't catastrophic signals, but they add up.

What Credit Score Range Is Considered Good?

A 713 puts the average American squarely in the "good" range — but only just. Here's how FICO and VantageScore, the two most common credit scoring models, define their ranges:

FICO Score Ranges

VantageScore Ranges

Lenders may use either model sometimes both. In practice, FICO is more widely referenced for major lending decisions like mortgages and auto loans. VantageScore shows up frequently in free credit score monitoring tools.

What Is the Average American Credit Score by Age?

This is where things get genuinely useful. The national average of 713 masks a wide gap between generations. Scores tend to rise with age — not because older people are more financially responsible, but because credit history length is a built-in factor in the FICO model.

As reported by Bloomberg, Gen Z borrowers took the biggest hit of any age group in 2025, helping pull overall credit scores lower in the worst year for U.S. consumer credit quality since the financial crisis.

Gen Z and Millennials are more likely to carry student loan debt, have shorter credit histories, and have fewer financial buffers like home equity to fall back on. Baby Boomers, by contrast, typically have paid-down mortgages, established credit accounts, and fewer new debt obligations.

Why Do Credit Scores Tend to Rise With Age?

Three main reasons — all tied to how FICO is structured:

• Length of credit history accounts for 15% of your FICO score. More years of accounts means more data, which generally works in your favor.
• Credit mix builds over time. A 45-year-old is more likely to have a mortgage, auto loan, and credit cards — all contributing to a healthier profile.
• Fewer new inquiries as people age. Applying for less new credit means fewer hard inquiries dragging scores down.

None of this is a guarantee. Age alone doesn't build credit. Consistent behavior does.

What Is the Average Credit Score by State?

Geographic differences are real and meaningful. Minnesota leads the country with an average of 741. Mississippi sits at the lower end with 677. Every state saw its average stay flat or decline in 2025 not a single state posted an increase.

Highest and Lowest Average Credit Scores by State (2025)

The steepest declines — four points each — occurred in Louisiana and Washington D.C. Three states held steady: Illinois, Maine, and Vermont.

How Are American Credit Scores Distributed?

The national average of 713 tells part of the story. But where do most Americans actually land?

About 70% of Americans hold a "good" or better score. That's worth noting. But the share in the poor range grew from 13.2% to 14.7% in a single year — the largest single-year jump in recent data. At the same time, the exceptional tier hit an all-time high of 22.8%.

What's often called a "K-shaped" pattern seems to be playing out in credit scores too. As noted by CNBC, more consumers now score in both the highest and lowest ranges simultaneously a growing divide between those pulling ahead financially and those falling behind.

What Factors Determine Your Credit Score?

FICO Score Factors and Their Weight

Payment history carries the most weight by far. One missed payment can leave a mark that takes months to recover from. In practice, people who track their score closely often find that utilization is the fastest lever they can actually control month to month.

Credit Utilization in Practice

The national average credit utilization rate has held at 29% for three consecutive years right at the commonly cited 30% threshold. What's telling is how utilization breaks down by score range:

Consumers with the highest scores aren't just staying under 30% they're typically under 10%. Keeping utilization low signals to lenders that you're not relying heavily on available credit to get by.

Also Read: GoMyFinance.com Credit Score

Why Did the Average Credit Score Drop in 2025?

Several factors converged. Higher prices for essentials — shelter, transportation, groceries stretched household budgets. Unemployment ticked up from historically low levels.

The resumption of student loan delinquency reporting in early 2025 caused a sharp jump in seriously delinquent borrowers, with 7.74% of aggregate student debt reported 90+ days past due in Q1 2025, compared to less than 1% the prior quarter.

Consumer confidence also fell to record lows, which tends to slow new credit applications and shift spending behavior in ways that eventually show up in credit data.None of these are catastrophic on their own. But together, they explain why 2025 was the first year in over a decade that the national average moved in the wrong direction.

How to Improve Your Credit Score

No shortcuts here. The factors that move your score are well-documented, and most of them reward patience over time.

Pay on Time, Every Time

Payment history is 35% of your FICO score. A single missed payment can pull your score down noticeably — and the impact lingers. Setting up autopay for at least the minimum due is a reliable way to protect this.

Keep Utilization Below 30% — Ideally Below 10%

If your credit card limit is $10,000, try to keep your balance under $3,000. For those aiming for excellent scores, staying under $1,000 on that same card makes a meaningful difference.

Avoid Opening Too Many Accounts at Once

Each credit application triggers a hard inquiry. One inquiry has a small impact. Several in a short window can signal financial stress to lenders and compound the drag on your score.

Keep Older Accounts Open

Closing a credit card you no longer use might feel like good financial hygiene. It usually isn't — at least from a credit score standpoint. Older accounts raise your average account age and boost available credit, both of which work in your favor.

Check Your Credit Regularly

Monitoring your score doesn't lower it that's a soft inquiry. Tracking your finances and learning how to create a budget alongside your credit habits is one of the more practical steps you can take. Knowing where you stand lets you catch errors, track progress, and spot fraud early.

Conclusion

The average American credit score is 713 in 2025 a small decline, but still in "good" territory. Most Americans are in reasonable credit shape. Scores vary significantly by age and state. The five FICO factors are the only real levers worth pulling.

Frequently Asked Questions

What is the average American credit score in 2025?

The average is 713, based on Experian's FICO Score data from September 2025. This is a two-point drop from 2024 and marks the first annual decline since 2013.

Is 700 a good credit score?

Yes. A 700 falls in the "good" range under FICO's model (670–739). Most lenders will approve standard credit products at this level, though rates improve meaningfully above 740.

What credit score do most Americans have?

About 70% of Americans have a score of 670 or higher. The largest single group sits in the "very good" range of 740–799, representing roughly 27.5% of consumers.

Why did average credit scores drop in 2025?

Higher living costs, rising unemployment, student loan payment resumptions, and tighter lending conditions all contributed. Younger generations were most affected.

Does checking your credit score lower it?

No. Checking your own score is a soft inquiry and has no impact on your FICO score. Only hard inquiries — triggered when a lender checks your credit for a loan application — can temporarily lower it.