The Recession Is Already Having an Impact on Americans' Credit Scores
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With the U.S. officially declaring a recession and jobs numbers still hitting breathtakingly bad levels, it's clear that the coronavirus crisis is far from over. People are going to be feeling the financial effects of the pandemic for months, and possibly years, to come.
That's especially true when it comes to credit scores, which are calculated over time and used by lenders to evaluate a person's trustworthiness. Several factors go into your credit score, but there are two in particular that may be taking a hit right now. Payment history — which is how often you pay your bills on time — and credit utilization — which is how much of your available credit you're using at any given time — could both be impacted by what’s happening with the economy.
The good news? At least one expert says it's possible to maintain, and even improve, your credit score during the coronavirus crisis.
