Recently, the New York Fed’s released a report titled, “Credit Insecurity in the United States, 2018-2023,” which examined the state of credit security across the U.S. over a five-year period. It introduced the Credit Insecurity Index, a measure that evaluated both the presence of credit scores or files among adults and their access to affordable credit.

The report found credit security improved from 2018 to 2023, with more individuals possessing a credit score or file and a decrease in those relying on high-cost debt. Despite this progress, however, over 10 percent of the population resides in counties where many consumers depend on expensive credit and struggle with debt management.

The report highlighted more than 41 million people living in credit-insecure counties, where residents frequently relied on high-cost credit and face challenges in managing debt. The report also found that 60 percent of counties, home to 199 million people, remained in the same credit security tier from 2018 to 2023 — with two-thirds of those “credit insecure” counties remaining insecure. The report also noted credit insecurity was particularly persistent in rural areas and among populations with lower educational attainment.