I’m 23 and a grad student. I have around $3,200 in credit card debt that has been up and down for a few years now. I’m determined to pay this off as soon as possible, but with my income, it’ll take some time. I’m steady with my payments, and my credit score is 680. I’m just wondering if this seems normal for someone my age? Money stuff makes me pretty anxious, so any advice would help put things in perspective for me. Thanks in advance!
Don’t stress too much, I’m 21 and my credit score is still working its way out of the 500s.
You’re doing well for your age. That’s a good score, even better than mine was at the start of the year, and I’m a bit older. Just keep at it, paying down that balance, and try not to go overboard if you’re offered more credit or an extra card.
Pretty normal for your age! A lot of people your age are in similar or even worse situations. You’re doing great, honestly!
Aeron said:
Pretty normal for your age! A lot of people your age are in similar or even worse situations. You’re doing great, honestly!
Thanks, this really reassures me! I tend to be super hard on myself, and sometimes I forget I’m actually doing okay with everything I have going on.
@Keegan
I totally get that feeling. I’m almost 60, and I still sometimes overthink things like my retirement savings or past investments. It’s easy to remember the financial mistakes and forget the wins. Life has its ups and downs money-wise, and honestly, having some setbacks makes the wins even better. I had credit card debt too and way more than you’re facing right now. Hang in there, and just know every little step towards paying it down will help you in the long run. I didn’t plan to write so much, but it feels good to share this!
Thinking about what’s ‘normal’ debt can get people into trouble. But honestly, most of us in our early 20s have some kind of debt. I’m 24 and have around $4k between credit cards and medical bills.
As long as you’re paying more than just the interest every month, you’re moving in the right direction.
Here’s a basic rundown on credit score ranges:
- 800 and above: excellent
- 740 to 799: very good
- 670 to 739: good
- 580 to 669: fair
- 579 and below: poor
https://www.equifax.com/personal/education/credit/score/articles/-/learn/average-credit-score-state/
@Jules
Does going over 800 actually help? I’ve heard mixed things but thought 760+ qualifies for the best rates.
Addison said:
@Jules
Does going over 800 actually help? I’ve heard mixed things but thought 760+ qualifies for the best rates.
Not totally sure, but I just try to pay off my credit card in full each month to keep my score steady.
What’s your credit card limit? It might be that your debt-to-credit ratio is what’s affecting your score. Getting another card could increase your available credit, lowering your usage rate. They say keeping it under 30% is good, but for 800+ scores, staying around 5-10% helps.
If you had, say, three cards with $10k limits each or six with $5k, you’d be at 10% usage. Don’t use all those cards, just keep them for the credit limit. You could also look for a card with a 0% interest offer for 15-18 months and pay off your higher-interest card. 18-25% interest is no joke.
Another option: go to your bank and ask for a personal loan to pay off the credit card. Then, treat your credit card like a debit card and pay it off each month. It shows lenders you handle credit well and might even get you a higher limit.
Get that debt down! If I could go back, I would have handled things better. Try finding extra work to pay it off faster. Life without debt is way more enjoyable, especially when you’re young and have so much ahead of you.
@Peyton
I get that, but I’m not planning to pick up another job just to pay it down faster. I’m happy with the progress I’m making, even if it’s slower. Just trying to focus on building good habits from now on!
Try refinancing with a local credit union. I had a card since 2011, and the interest crept up to 17%. Some credit unions offer loans with way lower rates, around 8%.
Good luck! 
Could you share some details? Like: A) What’s your take-home pay after taxes? B) How much are your monthly living expenses (not including debt payments)? C) Do you have any savings or assets?