Credit reporting firm Equifax (NYSE: EFX) has unveiled its third-quarter 2025 Market Pulse Index, highlighting subtle yet encouraging improvements in the financial well-being of American consumers, particularly those in lower credit brackets. Equifax also mentioned in the update that the index, which climbed to 61.6 by the close of September 2025, marks a modest 0.35% rise from the previous quarter and a 0.14% gain compared to the same period last year.
According to insights from Equifax, this development suggests that while economic disparities persist, the gap between high- and low-credit individuals may be stabilizing after years of widening.
The Market Pulse Index serves as a gauge of US consumer economic stability, integrating anonymized information on credit histories, outstanding debts, earnings, and asset holdings alongside VantageScore 4.0 metrics.
Unlike tools that zero in on isolated factors, this index captures the interplay of various economic pressures, offering a unified score from 1 to 100—where higher values denote stronger financial resilience.
It enables detailed analyses across different population segments, shedding light on how broader trends affect diverse groups.
One key observation from the report is the ongoing “K-shaped” recovery in the post-pandemic economy.
Affluent households with substantial assets have continued to bolster their positions, whereas those with limited resources have endured greater strains.
However, the third quarter brought a notable pivot: individuals with VantageScore 4.0 ratings under 580 experienced a Market Pulse Index boost exceeding 0.40%, outpacing gains for top-tier credit holders by nearly double.
This uptick represents the first quarterly advance for this vulnerable group since early 2024, fueled by better debt-to-income ratios, enhanced household prosperity indicators, and a plateau in delinquency rates beyond 60 days.
Emmaline Aliff, an advisory leader at Equifax, noted that these changes point to nascent stabilization in credit profiles among at-risk consumers.
Yet, she cautioned that broader wealth inequalities remain, urging vigilance in monitoring other aspects of personal finances.
The index also spotlights generational dynamics, with Generation Z emerging as a standout.
Their average score reached 59.04, reflecting a 0.71% quarterly increase and a 0.34% annual rise—surpassing Millennials for the first time.
However, Gen Z exhibits significant internal disparities, with scores varying widely between lows and highs.
This variability underscores how some young adults are navigating inflation and early career stages effectively, possibly aided by entry-level jobs or inherited advantages that provide short-term buffers.
In contrast, Millennials posted a score of 58.82, with minimal quarterly growth of 0.17% and a slight yearly dip of 0.04%, hampered by burdens like homeownership and family expenses.
Generation X scored 60.9, up 0.31% quarterly and 0.12% annually, showing consistent but tempered progress.
Baby Boomers at 64.5 enjoyed a 0.45% quarterly and 0.35% yearly upswing, buoyed by lifelong accumulations.
The Silent Generation led with 65.7, boasting the strongest gains of 1.30% quarterly and 0.99% annually, thanks to enduring savings habits.
Aliff emphasized that Gen Z‘s upward trajectory offers businesses, such as banks and merchants, a prime chance to foster enduring connections with this burgeoning demographic amid their economic ascent.
Developed using advanced artificial intelligence as well as advanced machine learning techniques, the index draws from Equifax’s proprietary datasets to distill complex financial elements into a single, actionable benchmark.
It balances positive influences like income growth with challenges such as rising debts, providing stakeholders with a clearer view of consumer trends.
As covered, Equifax specializes in data analytics and technology solutions that empower informed decision-making across industries.
With operations spanning 24 countries and a workforce of nearly 15,000, the company continues to drive economic insights globally.
This latest index underscores a somewhat cautiously optimistic outlook for consumer finances, signaling potential relief for those hardest hit by recent economic turbulence.