These 10 countries have the lowest average credit scores

A woman uses a cell phone with a worried look on her face.

Image source: Getty Images

A low credit score may make it difficult for you to get approved for a loan or credit card.

the main points

  • Your credit score shows creditors if you are good at managing your money.
  • Empirical data shows that average credit scores vary across the country.
  • Mississippi, Oklahoma, and Texas are some of the states with the lowest average credit scores.

It’s a good practice to know where your balance stands. By reviewing your credit report every year and monitoring Balance levelYou will be better informed so that you can make critical financial decisions.

A higher credit score is ideal because a higher score proves your creditworthiness and can facilitate qualification for attractive financial products such as low-interest loans. But many Americans have low credit scores.

If you have a low credit score, don’t feel defeated. The good news is that there are steps you can take to improve your score and prepare yourself for better financial success.

The national average credit score is 714

Have you ever thought about how consumer credit scores differ across the country?

The 2021 Experian Consumer Credit Review It examined average FICO credit scores across the country and looked at averages by state. Data was collected during the third quarter of 2021.

national average FICO . Result It was 714. However, many states had lower average scores—and the top 10 states with the lowest average scores all dropped below 700.

Top 10 Countries with Lowest Average Credit Score

According to Experian data, these states have the lowest average credit scores.

  • Mississippi: 681
  • Louisiana: 689
  • Alabama: 691
  • Oklahoma: 692
  • Texas: 692
  • South Carolina: 693
  • Georgia: 693
  • Arkansas: 694
  • New Mexico: 699
  • West Virginia: 699

While these are not the highest scores, all of these average scores meet a good credit rating.

A FICO score between 670 to 739 is considered good.

Your credit score is important

If you have poor credit or a low credit score, do not turn it down. Ignoring your credit score or your financial situation will make it difficult for you to make positive changes.

If you apply for a loan or credit card, you can expect your credit to be checked, and a low score could mean being rejected.

It will be easier to qualify for a lower interest rate, better loan terms, and get approved for a higher credit score, which is why it is smart to pay attention to your credit score and make an effort to improve it. While it takes a long time Increase your credit scoreit is possible.

Tips to improve your credit score

So, does your credit score need to work? Here are three suggestions that may help you make progress:

Review your credit report and dispute over errors. Your credit report It gives you valuable insight. Errors can happen, so there are likely to be errors in your report. If you notice any inaccuracies, counter them so the inaccuracies don’t affect your score.

Pay all your bills on time. Missed and late payments result in negative marks on your credit report and can lower your score, as the highest percentage of your score is associated with making payments on time. Make paying your bills on time each month a priority.

Get rid of your debts. Having a lot of debt can negatively affect your credit score. Try not to use all your available credit. If you have an existing debt, make a plan to pay it off. You can improve your score and feel better knowing that you owe less money to creditors.

Just because you have a low credit score now doesn’t mean you have to live with a low credit score forever. Building credit and raising your credit score takes time. Be patient and keep working towards personal financing Objectives.

ATTENTION: The highest cashback card we’ve seen right now has a 0% Advance APR until about 2024

If you use the wrong credit or debit card, it can cost you big money. Our expert loves This is the best choicewhich features a 0% APR up to about 2024, an insane cashback rate of 5%, all somehow without an annual fee.

In fact, this card is so good that our expert personally uses it. Click here to read our full review Free and apply it in just 2 minutes.

Read our free review

Leave a Comment