A new and improved credit screening process is in the works for early 2019. The new UltraFICO Score is a new system created by Experian and Finicity. This new credit scoring process is geared toward helping the consumer gain more control over how they are evaluated with options to allow access to personal financial data.
This new UltraFICO Score is meant to change the way you are evaluated in terms of credit and allow consumers more access to loans. The new scoring algorithms would allow access to a consumers personal data of checking, savings and money market accounts. So the new credit score would be graded not only on payment history but also on financial responsibility of personal banking accounts. This new approach could help consumers who do not have a long credit history or have had some credit issues in the past. Gain more access to lenders who previously would not be able to offer them loans or lines of credit. The new criteria is based on a few new factors and could potentially raise consumer credit scores.
Benefits Consumers and Lenders
The new scoring process could help those who fall in the low 500's to mid 600's see a huge spike in their credit points and ultimately help them qualify for more loans. This new system would not only help the consumers but could also increase the business for lenders who are able to qualify more people for loans, credit cards and other products. The new UltraFICO Score is a pilot program is set to premier in early 2019. What do you think of this new potential tool for lenders to use for qualifying credit for consumers?