Credit score model attributes are model components reflective of a person's credit behavior or financial history. They help assess someone's likelihood of repaying a loan by considering factors like payment history, credit usage, and length of credit history. Driven by demand from some of the nation's largest and most sophisticated lenders who recognize VantageScore 4.0 as the most predictive and inclusive credit score, the attributes will provide lenders with several strategic advantages:
- Best in Class Credit Underwriting: VantageScore 4.0 attributes are the key drivers behind the most predictive, innovative and inclusive tri-bureau credit score model in the marketplace. As the most inclusive credit score, VantageScore 4.0 scores an incremental 33 million consumers in the US. The VantageScore 4.0 attributes provide consumer lenders with a comprehensive, proven and predictive set of credit insights that enable custom credit scoring solutions.
- Access to Trended Data Insights: VantageScore 4.0 was the first tri-bureau model to integrate proprietary trended credit data, allowing lenders to view a more dynamic and holistic picture of consumers' credit behavior over time. These highly predictive attributes provide deep insights into consumer risk, adjusted for macroeconomic factors over time.
- Proven Compliance, Market Calibration and Truly Tri-Bureau: Each attribute within the VantageScore 4.0 model undergoes rigorous testing to ensure compliance with industry standards. In addition, the indexed attributes rank consumers by percentile groupings and are recalibrated quarterly to ensure lenders can better adjust for changing market conditions in any given consumer lending environment. The VantageScore 4.0 attributes are consistently leveled across all three major Nationwide Consumer Reporting Agencies, providing lenders with flexibility and consistency when developing their custom credit risk solutions.
"VantageScore 4.0 attributes are designed to enhance lenders' ability to build effective custom credit scoring solutions and credit policies so they can better manage credit risk," said Dr. Andrada Pacheco, SVP and Chief Data Scientist at VantageScore. "The VantageScore 4.0 attributes will give lenders a more reliable, predictive and inclusive understanding of consumer risk."
Lenders who are interested in the VantageScore 4.0 Credit Score Attributes can work with their preferred nationwide consumer reporting agency (NCRA) – Equifax, Experian, or TransUnion. Timing and availability may differ between each NCRA. For more information, please visit https://www.vantagescore.com/lenders/why-vantagescore/our-models/.
About VantageScore®
VantageScore is the fastest-growing credit scoring company in the U.S., and is known for the industry's most innovative, predictive, and inclusive credit score models. In 2023, usage of VantageScore increased by 42% to more than 27 billion credit scores. More than 3,400 institutions, including 8 of the top 10 banks, use VantageScore credit scores to provide consumer credit products including credit cards, auto loans, personal loans and mortgages. The VantageScore 4.0 credit scoring model scores 33 million more people than traditional models. With the FHFA mandating the use of VantageScore 4.0 for Fannie Mae and Freddie Mac guaranteed mortgages, the company is also ushering in a new era for mortgage lending and helping to close the homeownership gap.
VantageScore is an independently managed joint venture company of the three Nationwide Consumer Reporting Agencies (NCRAs) – Equifax, Experian, and TransUnion.
SOURCE VantageScore
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