Responsible buyers with low credit get new options

Responsible buyers with low credit get new options

BOSTON – April 8, 2019 – Here’s some good news for anyone whose credit scores aren’t quite as high as they’d like them to be: Three new financial tools have come to market – or soon will be available – that could give your scores a shot of adrenaline when you need it most.

All three tools come from well-established players: FICO, developer of the ubiquitous FICO score; Experian, one of the national credit bureaus; and CreditXpert, a financial technology company whose products are used extensively in the mortgage arena.

FICO’s Ultra score is expected to be widely available from lenders this summer. It raises scores by importing data from your checking, banking, savings and money-market accounts into your credit report when calculating your score. If you have some savings, maintain your bank accounts over time and avoid negative balances, you’ll likely get a higher score.

Seven out of 10 consumers who exhibit good banking and savings behavior should see increased scores using Ultra, according to FICO.

Experian’s new Boost option, introduced in March and now becoming available nationwide, offers another score-enhancement approach. It imports your on-time utilities and telecom payments and includes positive data into your score calculations, raising scores in the majority of cases.

According to Experian, three-quarters of consumers with scores below 680 saw an increase in their scores from Boost.

https://www.floridarealtors.org/NewsAndEvents/article.cfm?p=1&id=379122