Lender survey shows concern over consumer understanding of credit scores and reason codes

April 11, 2014 by Stacie Baker

In an effort to understand consumer needs better and help lenders educate their customers, VantageScore® Solutions surveyed more than 200 lenders nationwide on the topic of score reason codes. The results of the survey showed:

  • More than 75 percent of lenders expressed concern over the lack of consumer understanding of score disclosure notices
  • 33 percent said that if reason codes were written in clearer and easier-to-understand language, they would be easier to understand
  • Only 10 percent of lenders said their customers “understand reason codes well”

The results reinforce the need for lenders to use a risk score that is both highly predictive and consumer friendly.

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VantageScore Solutions expands ReasonCode.org content