WASHINGTON—America's craving for credit may get a little more difficult to satisfy, according to a survey of major banks conducted by the Federal Reserve.
The results of the questionnaire given to senior loan officers at 72 domestic banks indicate these credit card lenders are looking at applicants with a more critical eye, particularly those whose credit score fall in the subprime category.
Forty-one percent of consumers between the ages of 30 and 39 have scores of 621 or lower, and 38% of those 30 and under have scores falling in that same range, the Payments Journal stated in its analysis.
“Any tightening of standards on the banks' part has the potential to disproportionately affect young people's ability to get a credit card just as they begin tackling some of life's bigger financial obligations, such as a paying down their student loans or take on a home mortgage,” Payments Journal said.