People are often devastated when they suddenly lose their jobs. As a result of the ongoing coronavirus disease of 2019 (COVID-19) pandemic, especially affected are those who have a family to raise and monthly obligations to pay to creditors. It’s a stressful situation if you think your “rainy day fund” is not enough to cover daily expenses and bills for the next couple of months.
Many members of Generation Z are entering adulthood within the next few years and they’ll likely make big purchases along the way. The youngest credit-eligible generation should know that potential lenders or creditors will check their credit score to possibly determine if they’ll become responsible debtors. The average credit score has increased again, and Gen Z members need to become aware of their credit scores if they plan to make a big purchase by taking on a mortgage.
Millennials who have plans on becoming a homeowner in a couple of years from now should work hard to improve their credit scores. While credit score provider FICO recently revealed that the median score is now pegged at 706, most millennials only have an average score of 668, which means many have “poor credit.” There are easy ways millennials can do to start improving their credit scores.