Answer: 18-21 year olds saw an increase of 23 points in the past decade. 

Credit score changes since 2008

18-21 year olds: 23 point increase to 639 in 2018

22-35 year olds: 15 point increase to 644

72 and over: 40 point drop to 732

Questions:

• The CARD Act passed by Congress in 2009 reduced teen access to credit cards. What impact do you think this had on credit scores for 18-21 year olds since it passed? 
• What relationship do you see between age and credit scores? Why do you think this relationship exists?
• Do you think credit scores matter more for 18-21 year olds or for those 72 and over? Explain. 

Click here for the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the numbers (Experian): 

Since 2008, those aged 18 to 21 increased their average balance on credit cards ($2,056 in 2008 compared with $2,259 in 2018) and saw a 23-point increase in credit scores — the largest of any other age group (616 in 2008 compared with 639 in 2018). This is considered a near-prime score, approaching the typical prime lending criteria of 661.

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Check out the credit games in NGPF's Arcade: Shady Sam and Cat Insanity. 

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.

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