Credit Scores Should be Available to All

Gaining a great credit score is one of the bigger milestones in the American adult’s life. It can be incredibly important and financially beneficial in so many of life’s big decisions. When it comes to things like purchasing a home or a vehicle, individuals can have significantly different experiences based upon whether or not they have a good credit score. Those who have achieved this can count on lower interest rates and lower premiums and more borrowing opportunities. 

However, there are millions of Americans who are struggling to build a credit score at all, and it isn’t necessarily because they are handling their finances poorly. In fact, nearly half of those individuals who can’t get a credit score, would be seen as prime or near prime lenders if credit reports took a more realistic view of their financial history. 

Ninety-two million Americans right now have little-to-no credit history, but this shouldn’t be the case. Traditional credit reports only report on things that already rely on a person’s credit to possess. Things like loan payment history or credit card payments just aren’t available for those who run mainly on cash and debit cards. 

By taking stock of alternative data such as rental payments, utility payments, and transaction history, 90% of these under-represented individuals could finally receive an accurate credit score. 

Equifax expands access to credit with alternative data

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