A recent survey released by the Consumer Federation of America (CFA) and VantageScore Solutions showed that millenials—young people ages 18-34—know less than other Americans about the use of credit scores.
The report, which surveyed more than 1,000 consumers in April, showed that millenials know less about which businesses use credit scores and how supporting data is collected. Only 18 percent of millenials said all six types of businesses listed may use credit scores, compared to 32 percent of older consumers.
Millenials are also more likely to think credit repair companies can be helpful in correcting errors and improving scores. Half of all millenials surveyed and approximately 60 percent of consumers ages 45-64 said credit repair firms are only occasionally helpful in correcting credit report errors.
While approximately 75 percent of older Americans said they have accessed a free credit report, fewer than half of millenials said they had obtained a free credit report. The survey indicated that those who have accessed their credit reports are more knowledgeable about credit scores than those who have not.
“Those who are interested in their credit reports are probably also interested in their credit scores,” CFA Executive Director Stephen Brobeck said. “It’s so easy to go online and get your free reports that this action likely motivates people to learn more about credit scores.”