Make Credit Education a Cornerstone of Millennial Outreach

September 18, 2019 by Jessica Woods

Millennials, individuals aged 23 to 38, have shown a strong sentiment to improve their credit standing,  according to a 2019 Experian survey of consumers. Consumer finance companies willing to address this need are in the perfect position to build relationships, earn trust and enable millennials with the right financial products that meet their unique needs.

Growing Debt and the Desire for Improvement

Recent research finds Millennials are increasing their credit utilization at a rate that concerns some experts:

  • The New York Federal Reserve reported in February that Millennial debt had increased 22% from 2013 to 2018, and now exceeds $1 trillion.

While these are significant challenges for millennials, results from a 2019 Experian Boost™ Consumer Survey show that they have a strong sentiment to improve their credit standing. After trying Experian Boost™—a free tool  that lets people share phone- and utility-payment data so they can be factored into their Experian credit scores—survey participants reported the following:

A Credit Education Opportunity

Millennials’ appetite for credit education provides a powerful opportunity for consumer-finance companies to engage with millennials—those actively seeking borrowing options, and those wishing to build their credit as groundwork for future borrowing.

Recent Experian research found that innovative digital resources are highly effective at informing, educating and energizing millennial audiences. That makes credit education services, delivered over digital and mobile channels where millennials are most at home, an ideal millennial-outreach vehicle.

Experian credit education services deliver credit scores and credit reports, but they go well beyond that, with specific, actionable credit-improvement guidance based on each individual’s credit history. Experian’s suite of credit education solutions helps millennials understand how changes in behavior can increase credit scores, helps them to set score-building goals, and shows them how good credit habits increase borrowing power over time.

Easily integrated with any digital brand presence via white-label or fully hosted options, Experian’s suite of credit education solutions can be deployed quickly to add valuable “millennial appeal” to consumer-finance websites and smartphone apps.

Powering Tailored Credit Offers

Delivering the valuable financial-education content millennials crave can help them prioritize financial goals. This creates strong, positive engagement with your brand, builds goodwill and trust, and helps users become better candidates for credit products.

The Experian technology that enables the delivery of customized credit education also provides deep insights into users’ changing needs and creditworthiness. Content tied to individual users’ credit files is an ideal platform for highly specific, relevant product offers.

Experian’s powerful prequalification tools and best-in-class marketing expertise make it possible to serve in-app offers aligned with the customer’s specific credit scores and educational interests which can increase the likelihood that they’ll act on them.

To learn more about how customized credit education content can help you attract, and engage millennials, download our free eBook, Credit Education: An Olive Branch with ROI.