Rental data can help underbanked consumers gain access to credit

August 22, 2014 by Carrie Janot

A recent study analyzing the impact of rental data on the credit scores of subsidized housing residents uncovered compelling results. The simulated analysis, which added 2 years of positive rental payment data to actual credit files, found:

  • One-hundred percent of the “unscoreable” population in the study became scoreable by VantageScore® 3.0 after the addition of rental data, and a significant portion of these consumers fell into the prime risk score category
  • The average VantageScore 3.0 score change for previously scoreable participants was an increase of 29 points

The results demonstrate the significant impact of positive rent reporting and the importance of using more advanced risk models.

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Credit for renting: The impact of positive rent reporting on subsidized housing residents

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