VantageScore credit scores and the COVID-19 pandemic
Statement on VantageScore’s treatment of forbearance and deferment codes for consumer loans that have received payment relief by lenders:
“VantageScore understands the impact that the COVID-19 pandemic is having on the financial lives of many consumers across the country. We remain committed to helping those impacted by this pandemic and providing people with accurate credit scores. Some consumers impacted by the COVID-19 pandemic have seen their VantageScore 3.0 and 4.0 scores change as a result of the unprecedented widespread use of forbearance and deferment codes for consumer loans that have received payment relief by lenders. We are making adjustments to our proprietary VantageScore 3.0 and 4.0 model algorithms to minimize the potential of any negative impact associated uniquely with the usage of forbearance and deferment codes.
In addition, we will continue to monitor emerging trends so we can support consumers as they recover from this difficult situation while preserving the integrity of the consumer credit system, which is critical to our nation’s economic recovery.”
For more information, please click here for a helpful FAQ resource.