Credit Card News: Your Money

Selected cards: 0
Advertising Disclosure
TransUnion Unveils New System to Score 95% of U.S. Adults
29 Oct
Credit bureau TransUnion has come up with a new way to assess a consumer’s creditworthiness. The company is touting their new credit scoring product as a more reliable and accurate measure of people’s likelihood to pay their debts on time, and saying it will allow prospective lenders to see scores for 95% of adults in the United States.

CreditVision Link, TransUnion’s new credit scoring product, makes it easier for consumers to be approved for loans, says the company. Product testing showed a 24% jump in auto loan approval when using CreditVision Link versus other credit scoring models. This is beneficial for both consumers who want to get loans, and lenders who want to increase their lending portfolios.

Up to 60 million more people can be scored with CreditVision Link

TransUnion said that more than 60 million consumers who did not have credit scores—would be able to be scored using CreditVision Link.

People who don’t use credit cards can sometimes have poor credit scores, not because they are not responsible borrowers, but because they simply haven’t used credit often enough.

CreditVision Link uses more than three billion nontraditional data records, including property records, tax and deed records, checking accounts, and payday lending information to provide credit scores for folks who have thin credit files that make it difficult for them to be scored by traditional methods.

Information on consumers includes up to 30 months of payment history, amounts borrowed, and minimums due.

Credit scoring includes several factors

Traditional credit scores are based on five factors: payment history, amounts owed compared with available credit, length of credit history, types of loans utilized, and new lines of credit. Of these, payment history—whether payments are made on time and with consistency—and debt-to-credit ratio are the two weightiest factors.

To achieve a good or excellent credit score, consumers should maintain their accounts and keep them open, to establish the longest possible credit history. They should also keep debt loads to less than 30% of their total available credit, make all payments on time, refrain from applying for too much new credit, and have several types of loans; for example, a credit card, a mortgage, and an auto loan.

A good credit score leads to approval for loans, better interest rates, and more offers for high-value rewards credit cards. These cards offer perks like cash back, frequent flyer miles, concierge service, and hotel points.

Read Also Related News

  • 20 Jul

    A new report has good news and bad news about savings in America. The good news is that the percentage of people without an emergency savings fund is at a six-year low, down to 24% from 28% last year. The bad news is that nearly a quarter...

  • 28 Feb

    It’s an oft-quoted statistic that about half of all marriages end in divorce. But less talked about is the reason why many of these marriages fail. A new survey by credit bureau Experian sheds some light on the subject and reveals that...

  • 7 Dec

    Despite highly-publicized hacks that left people’s credit card information vulnerable to criminal use and fraudulent purchases, people still find credit cards to be the safest way to pay for purchases, online or off. Payment services...

looking for a Credit CARD:
Credit One Bank®: Credit One Bank® Platinum Credit Card with Rewards
Apply Online
Receive 1% cash back on eligible purchases, terms apply
Mid America Bank & Trust Company: Milestone® MasterCard® with Free Choice of Card Image
Apply Online
Applying is quick and easy with our fast decision process
Horizon Card Services: Horizon Gold Credit Card
Apply Online
Guaranteed $500 Unsecured Credit Limit
Credit One Bank®: Credit One Bank® Platinum Visa®
Apply Online
See if you Pre-Qualify without harming your credit score
Want to Read News From Other Categories?
Your Money
Card Issuers
  • 5 Oct

    People who love taking advantage of Groupon’s discount offers now have an even better way to save money when using a Groupon – as long as they pay for it with an eligible Mastercard or Visa credit or debit card.

    Groupon Plus offers a completely paperless,...

Customer Questions

  • About Us
  • Contact Us
  • Privacy Policy
  • Terms of Use
  • 0 Selected Cards Compare