Corporate earnings forecasts for the second quarter were lowered so much that companies are easily beating them.Market Insiderread more
The central bank is not normally in the business of easing into an economy that is showing few signs of a recession, generally holding fire until more pronounced signs of a...The Fedread more
His case for gold comes as central banks get more aggressive with policies that devalue currencies and are about to cause a "paradigm shift" in investing.Marketsread more
Challenging conditions in the U.S. housing market, along with tighter currency controls by the Chinese government, cause a stunning drop in foreign demand for American homes.Real Estateread more
House Speaker Nancy Pelosi says she wants her chamber to vote on a debt ceiling and budget deal by July 26.Politicsread more
Philips has acquired a start-up that texts you about your poop. That's Medumo, a Boston-based company, which works with hospitals to guide their patients through common...Technologyread more
The "'Cadillac tax," set to go into effect in 2022, is unpopular with both Republicans and Democrats, who say it punishes the middle class.Health and Scienceread more
Federal Judge William Pauley wrote in a court filing made public Wednesday that materials related to a campaign finance probe of Cohen should be unsealed — and denied a...Politicsread more
The U.S. economy continued growing at a "modest" rate in recent weeks, with consumers continuing to spend and a "generally positive" outlook overall even in the face of...Economyread more
CSX said it expects revenue to fall as much as 2% in 2019, well below a previous forecast of an increase of 1% to 2%.Marketsread more
Facebook's head of Calibra David Marcus is grilled during a House Financial Services Committee hearing over the company's digital currency plans.Technologyread more
Applying for that first credit card is a young adult's rite of passage. Actually getting one is another matter.
Many millennials apply for cards — often it turns out — and are declined either because they don't have much of a credit history or because of low credit scores, according to a new study from ID Analytics, a San Diego-based consumer risk management firm.
About 63 percent of younger millennials don't have a single credit card, compared with 35 percent of adults over 30, according to a separate report by Bankrate.
It's a Catch-22: "It's hard to get credit if you don't have credit," said Patrick Reemts, ID Analytics' vice president of credit risk solutions.
"You'd expect them to have a lion's share of the application volume, and that's the case, but they are being declined at a very high rate," Reemts said. (Millennials now number 75.4 million and have surpassed the 74.9 million baby boomers as the nation's largest living generation, according to the U.S. Census Bureau.)
Millennials apply for credit cards at higher rates than Generation X or baby boomers, the ID study said. But two-thirds of consumers under 30 have subprime or non-prime credit scores and one-third of millennials don't have any credit history.
As a result, less than half of millennials have credit scores that will qualify them with most mainstream lenders. ID Analytics looked specifically at applicants between ages 18 and 32 who were declined for credit or services over five years from 2010 to 2015.
"They are less credit mature," said Paul Siegfried, a senior vice president and credit card line of business leader at TransUnion.
From the lenders' standpoint, although millennials are a large group of potential consumers, they have less credit and probably a lower credit score, therefore they are more inclined to not be a prime borrower, he said.
Still, the credit card industry has indicated it is loosening its standards to the benefit of new applicants.
Last year alone, just more than half of the originations came from millennials in their 20s opening their first card. Including those accounts, 60 percent of new customers were subprime borrowers, meaning those with a credit score of 660 or below, according to TransUnion.
One card in particular, the Chase Sapphire Reserve, hit a sweet spot with millennials, thanks to a generous sign-up bonus, when it was introduced earlier this year.