FICO’s chief competitor introduced a new credit score Tuesday that captures up to 30 million more people that otherwise couldn’t be scored by conventional credit scores.
The VantageScore 3.0 can create a score for a so-called thin file consumer by considering accounts at least 1 month old, factoring in nonaccount data such as collections, inquiries or public records, and counting accounts that are more than 2 years old.
“A significant portion of the population was not getting scored by the mainstream credit scoring model,” says Sarah Davies, senior vice president of analytics and product management at VantageScore Solutions. “We wanted to address that.”