Question: What Percentage of 18 and 19 Year Olds Don’t Have a Credit Score?

From CPFB report: Over 80%, which is not necessarily surprising since we know that many fewer millenials have credit cards which typically serve as an entree to the credit world.  This chart shows how the share of consumers without a credit score declines as age increases:

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Why does this matter?  

The CFPB report’s conclusions provide one consequence of not having a score (emphasis is mine):

Consumers with limited credit histories established in the records of the three NCRAs generally have a harder time obtaining credit as a result because many lenders do not extend credit to consumers without a scored credit record or do so only in quite narrow circumstances. While there has been a lot of attention paid to the problem of limited credit history and to various forms of alternative data that might mitigate it, very little is known about the number of consumers who are affected and even less is known about their demographic characteristics.

Additional resource:

When people lack a credit score, the impact on their lives can be “profound,” said Richard Cordray, the bureau’s director, in a call with reporters. Their lack of credit history can bar them from getting an education, starting a business or buying a house. “It can preclude them from accessing credit,” he said, “ and taking advantage of certain opportunities.”