Alabama has some of the worst credit scores in the nation

That statement is accurate: Alabama consistently ranks near the very bottom of U.S. states for average credit scores, meaning its residents have some of the weakest credit profiles in the country.

How Alabama compares

• A recent WalletHub analysis using TransUnion data put Alabama’s average credit score at about 677, the third-lowest state score, ahead of only Mississippi and Louisiana.

• Another 2025 ranking shows Alabama 48th out of 50 states with an average FICO score around 692, while the U.S. average is about 715.

• Southern states generally cluster at the bottom, with Mississippi, Louisiana, Alabama, Texas, and Georgia all showing relatively low average scores.

Context vs. national averages

• The national average FICO score has been holding around 715 in 2024–2025, so Alabama’s average is several dozen points lower than the U.S. mean.

• Experian and other analyses note that lower scores in states like Alabama are linked to factors such as lower incomes, higher debt burdens, and more financial instability.