Myths and misperceptions about the VantageScore model and credit scores in general have existed and been perpetuated over time. Clearing up these myths is important for the industry as well as for consumers.
Myth: Newly scored consumers with low VantageScores get locked in to low scores.
Reality: Today’s financial system relies on automated underwriting, which almost invariably requires the use of credit scores. By scoring 30-35 million more consumers than conventional scoring models, VantageScore helps those consumers gain access to mainstream lenders. The newly scoreable population goes far beyond only consumers with lower credit scores: It includes 10 million consumers with VantageScore 3.0 credit scores of 600 or higher.
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