Daniel Rosen argues the credit system is failing consumers. The average FICO score dropped to 714, down two points in a year, but that masks severe drops for thousands of borrowers whose scores fell 50 to 100 points or more. Credit experts need to step in and help.
When credit gets worse for consumers, it gets way better for credit heroes. Not because we're rooting for people to struggle, but because struggling people need us. That's the whole job. We're the ones who show up when the system knocks somebody down. And right now, the system is knocking a whole lot of people down. So let me give you the state of the world in 4 numbers. The average FICO score in America is 714. It's down 2 points over the past year. Now, 2 points may not sound like much, but here's the thing about an average. It's spread across more than 200 million people. For a number that big to move at all, a whole lot of scores didn't just slip 2 points. No, many of them dropped 50 or 100 or more. See, the average It barely flinches even when millions of people get hammered. So when it falls 2 years in a row after almost a decade of climbing, that's not just a blip. No, that is a mountain of real damage that's hiding under one small number.
By using this service, you agree to the Terms of Service and Privacy Policy.