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A good credit score can open the door to better financial opportunities and there are several ways to increase that score, including on-time payments on credit accounts as well as keeping credit utilization low.
People in some places are improving those credit scores more quickly than others, according to a new study from WalletHub.
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Researchers analyzed consumers’ finances for Q1 2024 versus Q1 2023 to determine cities with the largest credit score increases – and Miami notably made it into the top 10.
Miami secured the 8th top spot out of 100 cities examined. The average score was 648 in Q1 2024, up 5.37% from Q1 2023.
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| Overall Rank* | City | Average Credit Score in Q1 2024 | Average Credit Score Q1 2024 vs. Q1 2023 |
|---|---|---|---|
| 1 | Scottsdale, AZ | 681 | 9.49% |
| 2 | Washington, DC | 660 | 8.20% |
| 3 | Des Moines, IA | 628 | 8.09% |
| 4 | St. Louis, MO | 630 | 7.88% |
| 5 | Detroit, MI | 557 | 6.50% |
| 6 | San Bernardino, CA | 581 | 6.02% |
| 7 | Spokane, WA | 624 | 5.41% |
| 8 | Miami, FL | 648 | 5.37% |
| 9 | Newark, NJ | 587 | 5.20% |
| 10 | Tulsa, OK | 597 | 5.11% |
Hialeah was notably the other South Florida city to make the ranking, at #41. The city saw a 3.09% average credit score increase from Q1 2023 to Q1 2024.
Other Florida cities that secured a spot include Tampa at #38, Orlando at #50 and Jacksonville at #73.
| Overall Rank* | City | Average Credit Score in Q1 2024 | Average Credit Score Q1 2024 vs. Q1 2023 |
|---|---|---|---|
| 8 | Miami, FL | 648 | 5.37% |
| 38 | Tampa, FL | 626 | 3.30% |
| 41 | Hialeah, FL | 633 | 3.09% |
| 50 | Orlando, FL | 624 | 2.80% |
| 73 | Jacksonville, FL | 615 | 1.99% |
Scottsdale, Arizona had the highest credit score increase in the nation. This was partly due to residents being able to make their payments on time, according to WalletHub analysts.
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"Scottsdale has a very low share of people in financial distress (meaning they have been allowed to pause payments due to financial difficulty) and a low debt delinquency rate," WalletHub stated.
Researchers found Washington, D.C. had the second-largest average year-over-year credit score increase, at 8.2%.
"The average score went from 610 to 660 between Q1 2023 and Q1 2024," WalletHub said. "This brought the average score in Washington out of the bad credit range and into the fair credit range."
One of the contributing factors to this increase is the fact that D.C. residents have been adding to their credit card debt more slowly than people in many other major cities, researchers noted. It's also one of the only cities where the average resident’s personal loan debt decreased between Q1 2023 and Q1 2024.
WalletHub tips for improving your credit score
- Pay on time and in full on your credit cards
- Keep your credit utilization low
- Pay in full, if possible
- Avoid opening too many new accounts
- Check your credit reports for accuracy
- Get personalized advice
WalletHub's website has the full list of cities and more details on how to improve your credit score.
