Lower-Tail Credit Stress Is Rising

FICO reports the average U.S. credit score fell to 715 while the median rose to 745, implying most of the damage is concentrated among lower‑score borrowers. Gen Z saw the largest decline, and newly reported student‑loan delinquencies hit a record 3.1% of the scorable population. Higher utilization and delinquencies are pulling down the average even as the middle holds up. — Rising distress at the bottom of the credit distribution affects lending standards, generational inequality, and student‑debt policy even if aggregates look stable.