Infographic: Millennials swap credit cards for student loans
Young consumers are turning their backs on credit cards
and piling on student loans, according to June
2013 data from FICO.
FICO tracked a dramatic shift in debt weight among 18- to
29-year-olds between 2007 and 2012. As the charts below show, the average
mortgage debt and credit card debt loads during that time span shrank, while
student loan debt took their place on the debt pie for those in the millennial age group.
Debt payoff is only one reason for the falloff in
card debt, according to FICO. The other reason? Millennials are becoming less likely to have credit cards.
Back in October 2007, 9 percent of 18- to 29-year-olds had no credit cards. By
October 2012, the cardless youth faction had nearly doubled to 16 percent.
See related: 5 credit score secrets of the young and FICO-savvy, More infographics
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Published: July 2, 2013