This story details an anonymous individual that is a millennial from Chicago, Illinois. After being bombarded with credit card offers during the first few years in college, I learned just how easy it is to accumulate debt. More importantly, the cost associated with being inexperienced in managing credit card debt. I had zero experience while growing up, despite the fact I grew up in n upper-middle-class family with both parents. I ended up with roughly […]
VantageScore is the first-ever only tri-bureau scoring model to incorporate trended credit data. The model utilizes machine learning to give lenders extra confidence to extend loans to consumers who would otherwise be left out. With this technology, VantageScore expands mainstream lending making it extremely easier to implement. So What’s different about VantageScore? One of the main features that make VantageScore different from all other credit scoring models is its consistency, accuracy, and more importantly, it’s […]
For many of us, buying a home is the largest purchase we will ever make and we couldn’t do it without a mortgage. The type of mortgages and rates available to home buyers are directly affected by credit scores. The credit scoring model used to determine those scores is of great importance. What Credit Score Competition Means for Mortgage Lending For many years, Fannie Mae and Freddie Mac, the government-sponsored enterprises (GSEs) responsible for purchasing […]
Fair Isaac Corp., the company behind the famous FICO score just released the new FICO 10 Model which is expected to cause the scores to fluctuate roughly 20 points. The change comes amid the average FICO score hitting a record high of 710 in 2020. According to data from Fair Isaac Corp, only 1.6% of the U.S. Population has a perfect score of 850. However, experts say that perfect scores might not matter as much […]
In 2019, the Consumer Financial Protection Bureau (CFPB) released a report which summarized the discussion and conclusions from a symposium on the topic of credit accessibility. The event focused on a broad spectrum of ideas and challenges associated with responsibly expanding access credit to those who are underserved. Obviously, credit scores are one of those factors. First off, the numbers: The CFPB noted that based on its prior research, “roughly 20 percent of the adult […]
