Americans could see their credit scores fall through floor soon

Credit scores could end up being 20 or more points lower, according to financial experts

This, uh.. doesn't sound terribly impactful? My score fluctuates +-50 points just from regular credit utilization, idk what throwing 60k in student loans onto the report would do but - 20 points sounds very optimistic.

A 50pt fluctuation is wild, like honestly you should look into why. Getting a mortgage didn't affect my score by 50pts...
The -20 probably assumes you're still making the loan payments.
- So I checked my history and you're right, over the last 2 years the wildest swings I've had have been +-20, but I also haven't spent wildly on the cards like I used to, not exceeding 50% utilized in this timeframe.
  But I think a mortage being a secured loan probably reduces impact too.
  (I'm not a banker or finance person, just someone who's watched their score rollercoaster on apps in my less responsible youth lol)
Not only is a 20 point drop nothing but if everyone’s score drops 20, nothing has changed.

Credit reporting is an evil practise. It needs to end.

It’s there for good reason. Credit can be used for good or ill. Just remember, anything can and will be gamified. We humans love patterns and puzzles too much.
- Credit scores are barely a 40 year old concept
  There is far more corporate and institutional fraud rather than individuals causing problems
- Who would be likely set something like this up without the desire to use it for social control? The government? China's system. Capitalists? Ours. It exists to incentivize you being in perpetual debt that can be leveraged over you by those who own everything. It's a system that ensures indentured servitude; a system for the wealthy to project power over you. What fucking entity would have selfish motivation to do anything more?
Before credit reporting credit decisions were literally determined based on vibes, which of course means rampant discrimination. While I can think of additional protections and reforms to credit reporting, I'm not sure there is a better option for determining credit risk than a centralized credit reporting mechanism like we have now
- I don't have a specific policy proposal for you. Needing a long term loan to have access to transportation or a place to live is already a pretty grim situation, but building a punitive and dystopic privacy nightmare on top of that doesn't really meet my criteria for "unpleasant but necessary facts of life, might as well accept it".
  We're miles away from a sane reality, and all I'm doing is pointing that out - we're not going to have a good time whether we decide to accept it and let things get worse or start fighting our way back. It's all a nightmare.
Credit reporting is an evil practise. It needs to end.
What should lender use instead to determine you are capable of paying back money you're asking to borrow from them?
- Collateral and, historically, age, race, sex, and ethnicity. They'd also look at how well you were dressed because 100% of the time you went to the bank in-person to get a loan. Also, your bank wouldn't be far from where you lived and the local population wasn't so large that they couldn't just "ask around" the local social network to see if this man before them was upstanding enough to warrant giving them money.
  Also note that people didn't need to borrow money as much as they do today. You wanted a new home appliance like an oven or refrigerator? You saved for quite some time to buy it.
  There weren't as many things to spend your money on either!
- Accept the risk and pay the cost of the defaults. If lenders would have it their way, they'd only lend to people who pay back and charge them interest on it for the privilege, which would be pure economic rent.
- There in lies the confusion.
  A credit score doesn’t tell a lender if you will pay back a loan. A credit score tells a lender how much off a guarantee it is to make money of lending you money.
- How about we don't build an economy on borrowing?

Not the arbitrary made up numbers that some how go down every time I pay off a car loan!!!

I remember paying off my car loan years ago and it dropping. I'm like.. wait a minute!
- It's crazy to me. I just focus on my personal debts and pay off timelines and ignore my credit score these days.
  Banks were willing to give me mortgages a couple of months ago that I in no way could afford based off my score (it's actually good). None of this is grounded in reality; prior to 2020 those same fucks wouldn't even pick up the phone for me.
Credit scores are a number used by financial institutions to judge how much money they can take from your pockets. I don't have a cent of debt, and my credit score is 630.

What's all this about buying now and paying later?

Don't do that.

I haven't given a thought to my "credit score" in decades. I hope that means that it's tanked due to the unimaginable, unearthly, inhuman crime of not routinely borrowing money.

Just remember, the rich are rich because they borrow other peoples money. You just need to know how to take advantage of it to work for you.
Build credit by never paying any minimum late > gain credit above 700 (ideally 750+) usually within 2-5 years > get great rates > 0% for X months starts showing up > Use their money to keep credit high, gain rewards/miles, etc.
It really just takes organizing and consistency. It’s not that hard once you’ve built the habit. In fact, my wife and I don’t even put brain power into it anymore. Credit fluctuates between high 700s / lower 800s and we get 0% financing offers constantly. Once you’re a sure bet everyone wants you to finance/get credit with them. This absolutely pays off over time. When someone else is stuck buying a car with a higher APR, I’m getting close to fed rates, same with mortgages.
Is the system perfect? No, but it’s what we all have so you may as well take advantage of its potential benefits.
- When someone else is stuck buying a car with a higher APR, I’m getting close to fed rates
  One of the tactics I picked up in a book on financial management was to start paying myself some kind of money as a monthly payment instead. You do that by...either lucking out and having parents that bought you a car and drive that for as long as possible, or you (like me) buy some total shitbox, either paying off the entire thing at sale or nearly immediately, and keep that on the road for as long as and cheaply as possible, all while making "payments" on my next car. Trust me, that first car especially will not be glamorous.
  Then, with the money you paid yourself for whatever time - use that to buy the next car. I haven't had a car loan in years as a consequence of this.
You don't use a credit card?

“There are 45 million people with student loan debt and 15 million with medical debt. It’s highly likely that there is some overlap there,” said Adam Rust, director of financial services for the Consumer Federation of America. “People are really facing a perfect storm here.”

Jokes on them cause I don't even have credit.

Joke's on them, my credit score already sucks. I love it when some bill collector threatens to ruin my credit. Good luck, loser.

"You have until 5pm today to take a 20% off discount on your settlement payback. If you don't respond it may reduce your credit score." ¯(ツ)_/¯

If everyone's credit score falls, aren't we all set?

Or is every single service in the USA that depends on credit score all going to tank at the same time?

What do you mean by soon?…mines been nonexistent for years, decades now!

LOL @ credit scores, the US is changing slowly in a western China.

And you just keep playing along with it like good little minions.