Can Credit Scores Fix the Economy and Strengthen Democracy?

The financial well-being of the United States should be a priority, and improving credit scores is the first step.

The difference of 200 points in credit score impacts more than just loan interest rates; it significantly affects your overall quality of life. Credit scores can influence financial security, life expectancy, community safety, community strength, and even the robustness of our democratic system.

A nation where most people have a credit score of 700 or higher would be more hopeful, unified, and prosperous. Raising credit scores by 100 points in every neighborhood and community could bring stability to the country.

Currently, many communities, both urban and rural, across racial divides, are stuck in a cycle of low credit scores around 500. The financial strain in these areas fosters disunity, despair, and often, social disruption.

People who feel marginalized, excluded, and financially abandoned often express their discontent in various ways. Throughout history, different groups have resorted to protests, both in the streets and through voting. These actions stem from the same underlying frustration: the perception that the system is failing them.

However, protests, whether in the streets or at the ballot box, do not solve the underlying problems. They do not provide food, education, or wealth creation. The solution lies in financial literacy and economic empowerment.

In a community with prevalent low credit scores, the financial environment is often unfavorable. Check-cashing stores, payday lenders, rent-to-own establishments, title loan offices, and pawn shops dominate the landscape, with limited access to traditional banking. Churches offer emotional support, but this environment creates a system that exploits financial struggles. Those with less pay a disproportionately higher cost relative to their income. They face higher interest rates, fees, and rents. The cost of being poor is itself expensive.

In contrast, a community with high credit scores presents a different picture. Banks replace payday lenders. Homeownership is common instead of . Access to fresh, healthy food options is available instead of only fast food. Business ownership and investment replace economic despair. People write checks instead of cashing them, and optimism replaces resentment.

These differences highlight that higher credit scores benefit entire communities, not just individuals. According to Operation HOPE’s 700 Credit Score , higher credit scores correlate with lower crime rates due to reduced financial desperation. Political division decreases as people feel empowered. Health outcomes improve due to reduced financial stress. Lifespans even increase, with people in stable, economically secure communities living longer. Increased spending, investment, and business creation lead to GDP growth and a thriving economy.

For too long, we’ve been arguing over divisive issues. The real unifying factor is economic power.

A struggling white family and a struggling Black family may share more common ground than they realize. Both navigate a flawed financial system, face limited economic opportunities, and struggle to escape financial hardship.

Instead of uniting to address these issues, divisive politics have turned us against each other, while large financial companies profit from our financial instability.

A financially literate America is a stronger America. We can build a better country through financial education, homeownership, entrepreneurship, and access to credit.

To raise credit scores, we must prioritize financial literacy nationwide. My plan ensures financial literacy is taught in every K-12 school. Students should learn about credit, budgeting, and wealth creation.

We must also increase banking access and invest in credit-building programs. Banking deserts should be replaced with genuine banking solutions. FDIC-insured banks should be encouraged to raise credit scores in the communities they serve by tying this activity to their Community Reinvestment Act (CRA) credit.

Corporate America should offer credit-building benefits to employees, similar to health insurance, for the benefit of both the community and a more productive workforce. Government policies, such as expanding the Earned Income Tax Credit and the CRA, should focus on wealth-building and credit-building initiatives in underserved areas.

A financially stable America is stronger, safer, and more unified, where people own their futures and communities thrive.