Gaps in Consumer Credit Knowledge - Other News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Gaps in Consumer Credit Knowledge

Gaps in Consumer Credit Knowledge

Gaps in Consumer Credit Knowledge
The content is accurate at the time of publication and is subject to change.

While Americans know just how important credit is in helping them meet their financial goals, many don’t know their current credit score or how their daily decisions factor into having a healthy score or one that needs improvement, according to a recent study.

The 2015 Chase Slate Credit Survey looked at how Americans’ were doing with credit health, finding that there are some very real gaps. When asked, four out of 10 Americans had no idea what their current credit score was, and over half (52%) didn’t know that whether or not they pay their bills on time is a primary factor in determining their credit score. 

Unrealistic expectations

People who had checked their credit score defined 719 as being good, which was 51 points higher than the score that those who never checked it considered good. That said, a score of 719 might not mean getting credit at the best rates – just like in school, a higher score is optimal.

Just over a third (37%) feel very confident that their current credit score can help them meet their goals. Many in the study wished they had a higher score. While two-thirds said that they could get their score up over the next 12 months, a little over a third actually had a plan in mind to help make that a reality, and a fifth hadn’t done anything to boost the health of the credit score.

Yet with all of the gaps, many Americans do check their scores, even if it’s not as often as they should with 59% checking over the last year. But they aren’t necessarily doing it to increase financial health, with just 22% indicating that they did it because they were actively managing their finances.

Gen Xers taking on their credit health

What about the generational divide? It definitely in play in this study with Gen Xers facing their credit health head on when compared with other generations – only 4% of Gen Xers indicate that they have never checked their credit score, while 19% of Millennials and 13% of Boomers indicate the same.

The trend continues with 67% of Gen Xers saying they are aware of their score, followed by 60% of Boomers and 55% of Millennials. With Gen Xers it may boil down to hindsight being 20/20: 62% say that in the past they would have made better choices if they were aware of their score.

The survey was conducted from February 27 – March 11 with 1,000 people aged 18 and older.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

Financial Fitness Takes a Backseat to Physical Fitness in the New Year
Financial Fitness Takes a Backseat to Physical Fitness in the New Year

Posted: January 07, 2015

Many people have made New Year’s resolutions vowing to get healthier. However, physical health trumps financial health, as exercise and diet is the number one New Year’s resolution folks anticipate making and being able to stick to. Continue reading

Americans Less Pessimistic About Economy
Americans Less Pessimistic About Economy

Posted: January 15, 2015

Last month’s Harris Poll found consumers feeling, if not optimistic, at least less pessimistic about the coming year than they felt at the same time last year.
Continue reading

Millennials Open Their Wallets in 2015
Millennials Open Their Wallets in 2015

Posted: February 04, 2015

The new American Express Spending & Saving Tracker looked at what Millennials are planning in their lives this year and how it compares with previous generations. The results suggested that now that the economy is on the mend the younger… Continue reading

Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, and more up to the quarterly maximum, each time you activate.
For Excellent, Good Credit
INTRO OFFER: Discover will match ALL the Miles you've earned at the end of your first year, automatically. For example, if you earn 30,000 Miles, you get 60,000 Miles. That's $600 towards travel!
For Excellent, Good Credit
Earn unlimited 1.5% cash back on every purchase, every day
For Average, Fair, Limited Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!