VantageScore’s February CreditGauge data cited by the Wall Street Journal

Based on VantageScore’s CreditGauge data, a February 2023 Wall Street Journal article found that “American millennials in their 30s have racked up debt at a historic clip since the pandemic. Their total balances hit more than $3.8 trillion in the fourth quarter, according to the Federal Reserve Bank of New York, a 27% jump from late 2019. That is the steepest increase of any age group. It is also their fastest pace of debt accumulation over a three-year period since the 2008 financial crisis.”

“The average credit-card balance for millennial borrowers was about $6,750 in January, up 26% from three years earlier, according to credit-score provider VantageScore Solutions. Balances were little changed for Gen X, and fell between 11% and 15% for older generations. Average personal-loan balances for millennials rose more than they did for overall borrowers.”

“We are seeing a ‘credit gap’ emerge in the sense that younger, less-affluent borrowers are coming under financial pressure from higher living costs and inflation outpacing their income gains,” said Silvio Tavares, chief executive of VantageScore. “We aren’t seeing that among older and more-affluent borrowers.”

Read the full article: https://www.wsj.com/articles/americans-in-their-30s-are-piling-on-debt-dda97270?mod=Searchresults_pos1&page=1