The Wave of Declining Credit Scores Approaching Generation Z: New Challenges Arising from Economic Pressure - The Worst Year for Generation Z Due to Student Loans and Rising Prices

In 2025, the average FICO score in the United States has decreased to 715. Notably, Generation Z (ages 18–29) experienced the largest drop among all generations, with an average score of 676. The main factors behind this decline include the full resumption of student loan repayments, high prices and interest rates, increased delinquencies, and rising utilization rates. Reports indicate that approximately 14% of young people saw their scores drop by more than 50 points in a year. On social media, there is widespread discussion about "distrust in the score model," "confusion over the resumption of repayments," and "sharing practical coping strategies." However, there is still ample opportunity for rebuilding by adhering to basic practices such as avoiding payment delays, keeping utilization rates low, and steering clear of unnecessary new credit.