73% of Americans 55 and Older Rate Their Credit Good or Very Good. Among the Youngest Adults, It’s 46%

Paying every bill on time for 30 years is about as boring as personal finance gets, and nobody is ever going to throw you a party because of it. Instead, it’s a dull, steady record that quietly becomes one of the most useful things you own, and new data on how Americans rate their own credit shows how much age has to do with it.

In a 2024 study of Americans’ financial capability, 73% of adults 55 and older rated their credit record good or very good. The figure for adults 18 to 34 was 46%. Keep in mind these are self-ratings. People were asked how they’d describe their credit, and nobody pulled an actual score. Still, the gap lines up with how scoring works. Time is a big factor, and younger adults haven’t had much of it yet.

Ranking Americans by How They Rate Their Credit

Here’s how the study’s age groups and income groups stack up, ranked by the share who rate their credit good or very good:

1. Household income of $75,000 or more: 79%
2. Ages 55 and older: 73%
3. Ages 35 to 54: 53%
4. Ages 18 to 34: 46%
5. Household income under $25,000: 32%

Income gets the widest spread on the list. Higher earners have more room to pay balances in full and cover a surprise bill without missing a payment. Lower earners are more likely to carry balances and fall behind when money runs short. Across all adults, 59% believe their credit is above average, and the biggest single group, 38%, call it “very good.”

Why Younger Adults Trail by So Much

A lot of the gap comes down to habits that cost money. FINRA tracks what it calls expensive credit card practices, the kind that rack up interest and fees. Among cardholders, 66% of those 18 to 34 engage in at least one, compared with 31% of those 55 and older.

Those habits are pricey right now. The average interest rate on credit card plans hit 21.19% in August 2026, according to the Fed. Younger households also carry more of the load. Fed distributional data shows households under 40 hold 34.8% of all consumer credit, while those 70 and older hold 9.5%.

Good Credit Keeps Paying Off in Retirement

Credit keeps working for you long after the mortgage is paid off. Most auto and homeowners insurers use credit-based insurance scores to help set prices, according to the National Association of Insurance Commissioners, though rules vary by state. Landlords check credit too, which matters if you downsize into a rental. The CFPB has heard from consumers who couldn’t get apartments because of errors on their reports.

Refinancing still runs through a credit check. And if you ever look at a federally insured reverse mortgage, you’ll go through a required financial assessment. HUD says lenders use it to review whether you can keep up with your obligations, and that review typically includes your credit history and how you’ve paid property taxes and insurance.

Here’s the catch for retirees. Scores reward a long, active history. Closing an old card shrinks your available credit and can push up your usage, which is just the share of the credit limits you’re using. Leave a card untouched for years, and the issuer may close it for inactivity, with the same result.

Protecting a Record That Took Decades to Build

Complaints about credit errors have surged. The Consumer Financial Protection Bureau reported that the monthly average of complaints about incorrect information on credit reports rose 249% in 2025 compared with the previous two-year average. Many of those consumers linked the mistakes to identity theft or fraud.

A few simple moves cover most of the risk. Pull your credit reports regularly and challenge anything that’s wrong. Place a credit freeze so nobody can open new accounts in your name, and lift it only when you’re applying for something. Set autopay for at least the minimum so a busy month never turns into a late payment. If one slip does land on your report, a goodwill letter asking the lender to remove it can be worth sending. We’ve covered freezes, credit reports, and goodwill letters in more detail.

Keep One Old Card Open and Use It Lightly

If you pick just one habit, make it this: keep your oldest card open and put a small, regular charge on it. A streaming subscription works, and so does one tank of gas a month. The best thing you can do is to set it to pay in full automatically.

That keeps the account active, keeps its long history and credit limit on your report, and keeps your interest bill at zero. Adults 55 and older got to 73% by doing the boring stuff for a long time. Staying there takes the same boring stuff, just a little less of it.

Contact [email protected] for any questions or corrections.