The Generation That's Most Likely To Pay Off Their Full Credit Card Balance Each Month

It seems that with every year that passes, credit card interest rates continue to increase. According to the Federal Reserve, in Q3 2025, the average interest rate applied to credit cards with a balance was 22.83%. However, card holders can often see interest rates in the high 20s to mid-30s as there is no federal limit on what banks and providers can charge when it comes to the maximum interest rate for a credit card. Interest charges can cause credit card balances to increase considerably — especially when cardholders pay only the minimum amount on their statement and instead carry a balance into the following month. However, responsible credit card users can avoid these costly charges by paying their balance in full every month. Of course, in today's economy, that is often easier said than done. However, some are still pulling it off, According to MX, a financial data and software company, baby boomers –- those born between 1946 and 1964 –- are the generation most likely to pay their full credit card balance each month.

According to MX's survey, 38% of baby boomers reported paying off their full credit card balance every month. In comparison, on average, only 35% of credit card holders pay their entire balance every month. By paying your entire statement balance every month you can not only avoid paying the added interest but also improve your credit utilization and even help keep household credit card debt under the national average.

Baby boomers have a unique relationship with credit cards as they witnessed the creation of credit cards but have also seen U.S. credit card debt balloon to unimaginable numbers (according to the Federal Reserve Bank of New York, credit card debt reached $1.23 trillion in Q3 2025). This has led many baby boomers to build healthier financial habits like making on-time payments and prioritizing paying their full balance every month. These habits have also paid off with higher than average credit scores. According to Experian, while the average U.S. credit score was 715 in 2024, the average baby boomer boasted a 746. Baby boomers also tend to carry less debt than other generations, with an average of $6,795 in credit card debt, compared to $9,600 for Gen Xers and $6,961 for millennials.

Compared to younger generations, baby boomers also rake in the most wealth allowing them the financial freedom to be more responsible with their credit card usage. According to the Federal Reserve, baby boomers hold around 48% of wealth in the U.S. This provides a financial cushion for many to pay off their credit card balances and avoid additional interest from accumulating. However, wealth isn't the only remedy for credit card debt, especially since even upper-class individuals can have bad credit card habits. In reality, the combination of healthy financial habits, and ongoing wealth, are largely driving their responsible credit card usage.