Late-Stage Delinquencies Rising Modestly as K-Shaped Credit Economy Persists
Average Balances Climb, But Utilization Stays Broadly Stable
Personal Loan and Credit Card Originations Rise Year-Over-Year as Consumers Seek Holiday Liquidity

SAN FRANCISCO, Dec. 19, 2025 /PRNewswire/ — Average Credit Card balances grew year-over-year as holiday shopping stimulated consumer spending, according to the latest edition of CreditGauge™ from VantageScore. Late-stage delinquencies increased from the prior year, suggesting persistent repayment pressure among a subset of borrowers. Personal Loan and Credit Card originations rose by +0.56% and +0.34% year-over-year, respectively. The average VantageScore 4.0 credit score remained stable at 701.

“Average credit balances grew in November compared to the previous year, while Personal Loan and Credit Card originations also increased year-over-year — suggesting that more consumers are accessing additional liquidity in comparison to last year’s holiday season,” said Susan Fahy, EVP and Chief Digital Officer at VantageScore. “Many consumers entered the 2025 festive season with tighter household budgets, likely due to a combination of a softer labor market and persistently higher prices, among other factors.”

Watch CreditGauge LIVE for additional key insights from the November 2025 edition of CreditGauge that include:

LATE-STAGE DELINQUENCIES RISING MODESTLY AS K-SHAPED CREDIT ECONOMY PERSISTS: Late-stage delinquencies, or 90–119 Days Past Due (DPD), rose modestly to 0.24%, representing a 30% increase on a relative year-over-year basis. Month-over-month, early-stage delinquencies edged up only slightly (+0.03%) while mid-stage delinquencies remained flat. The ongoing upward trend in late-stage consumer delinquencies likely indicates a persistent repayment strain among a subset of borrowers that continues to bifurcate the U.S. consumer economy.

AVERAGE BALANCES CLIMB, BUT UTILIZATION STAYS BROADLY STABLE: In November 2025, the average balance increased to $106,000, a $77 (+0.07%) rise from October – a new post-pandemic high. Compared to November 2024, balances also grew by $1,459 (+1.4%), demonstrating steady year-over-year growth. Meanwhile, the balance-to-loan ratio slightly declined to 50.80%, reflecting stable utilization. Despite rising balances and early holiday shopping, consumers are showing discipline in their use of credit.

PERSONAL LOAN, CREDIT CARD ORIGINATIONS RISE YEAR-OVER-YEAR AS CONSUMERS SEEK LIQUIDITY: Year-over-year, the most significant increases in originations were in Personal Loans (+0.56%) and Credit Cards (+0.34%), while Mortgages (+0.02%) only edged up slightly and Auto Loans declined (-0.12%). Household budgets were likely tighter entering the 2025 holiday season than last year, and as a result, consumers appeared to seek increased short-term liquidity.

Follow VantageScore on LinkedIn and YouTube to watch CreditGauge LIVE, a monthly video series featuring our latest insights on consumer credit data and analysis.

CreditGauge is a monthly analysis highlighting the overall health of U.S. consumer credit. To download this month’s full CreditGauge report, visit the VantageScore website.

About VantageScore CreditGauge™
CreditGauge is provided both as a monthly analysis to industry stakeholders as well as through a series of interactive tools at VantageScore.com, which also includes Inclusion360®, RiskRatio™ and MarketGain™. Stakeholders can use the tools to execute additional queries on credit metrics and compare current levels to a pre-pandemic timeframe, starting with January 2020. CreditGauge solely represents the views and analysis of VantageScore and does not necessarily reflect or represent the views of the Nationwide Consumer Reporting Agencies (NCRAs) – Equifax, Experian, and TransUnion.

About VantageScore®
VantageScore is the fastest-growing credit scoring company in the U.S., and is known for the industry’s most innovative, predictive and inclusive credit score models. In 2024, usage of VantageScore increased by 55% to hit 42 billion credit scores. More than 3,700 institutions, including nine of the top 10 U.S. banks, use VantageScore credit scores and digital tools to provide consumer credit products or generate greater insights into consumer behavior. The VantageScore 4.0 credit scoring model scores 33 million more people than traditional models. With the FHFA allowing the immediate use of VantageScore 4.0 for Fannie Mae and Freddie Mac guaranteed mortgages, the company is also ushering in a new era for mortgage lending.

VantageScore is an independent joint venture company owned by Equifax, Experian and TransUnion.