All age groups are increasingly shedding credit cards, according
June 2013 data from FICO
. Yet no age group is ditching them faster than young people.
Between October 2005 and October 2012, FICO tracked an
increasing number of consumers who no longer had a credit card. Yet
the percent of cardless 18-to-29-year-olds (16 percent) towers
above that of any other age group. In fact, that 16 percent
represents a 77 percent jump from 2005. The 30-to-39 crowd also saw
a sizable (50 percent) jump between 2005 and 2012.
FICO attributes the trend partially to the CARD Act of 2009,
which makes it much more difficult for consumers under 21 to get
credit cards. Another factor at play, according to FICO, could be
the recession, which made consumers as a whole -- and young people
in particular -- wary of borrowing money.
The chart below shows (by age group) the percent of consumers
without any credit cards between October 2005 and October 2012.
Infographic: Millennials swap credit cards for
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alt="CreditCards.com infographic: Young consumers ditching credit