VantageScore is expanding access for more creditworthy borrowers overlooked by traditional credit scoring models, including our active-duty military and veterans
Our nation’s military service members help protect and defend both our country’s interests overseas and the American dream here at home. Though we often receive our Veterans with excitement and celebrate their return, a less warm welcome often happens during the transition to civilian life.
Credit is one of the primary tools for consumers to enter the financial services marketplace. Credit scores help lenders and other organizations decide whether to extend credit to an individual and at what terms. A high score may mean they have easier access to the credit they seek, possibly at lower rates. If they have a credit score lower than they would like, the best way to improve it is to focus on managing credit better.
Military service members often struggle to access credit when they come home, making it harder to return to civilian life. How does this happen?
The problem lies in the way most traditional credit-scoring models are currently built. There’s something called the ‘six-month rule’: in order to be scoreable by certain models, a consumer has to have accessed or used credit in the six months prior to checking their credit score. When credit files become dormant (meaning they’ve gone unused for six months or longer), that individual becomes ‘credit-invisible,’ meaning the model cannot properly assess them and provide a credit score.
How Military Service Members Become ‘Credit Invisible’ with Traditional Credit Scoring Models

Being credit-invisible comes at a cost to all people, but particularly to military service members. Not being able to access a credit score that accurately captures their ability to repay their debts excludes servicemembers from accessing fair pricing in the financial marketplace. Left with few options, this leaves service members vulnerable to unfair, low-quality lenders and high interest rates.
VantageScore credit models include more veterans and active-duty military by not requiring a consumer to have opened a credit account or made a payment on a credit account in the last six months. This six-month rule is one used by competitors’ models. It effectively limits both recently discharged and active-duty service members from having a credit score.
While VantageScore does not provide financial advice or credit counseling, there are a few ways that military and veterans can practice good credit health. Below are some tips to achieve better credit health.
1. Check your VantageScore credit score often.
An informed consumer is a great consumer, and it’s hard to know where to start without having a baseline for where you are today. VantageScore is proud to be the first commercially available credit score to be provided free to consumers. You can obtain your VantageScore credit score for free from these best-in-class providers or at www.AnnualCreditReport.com. Don’t forget to review your information for any errors.
2. Start using your credit and work to develop great credit habits.
As you start to utilize credit, check with lenders and ask them, “Do you use VantageScore credit scores?” If you need additional information on a credit decision, learn more about reason codes related to your VantageScore credit scores using our free tool, ReasonCode.org.
3. Ramp up your credit education.
To learn more about maintaining credit, you can get credit education, knowledge and tips at the VantageScore.com Consumer Blog. Afterward, test your credit score knowledge with the VantageScore Credit Score Quiz.
VantageScore is proud to provide our nation’s service members with accessible and fair credit-scoring solutions, empowering them to achieve their financial goals. Below is a list of other articles written to help navigate your credit journey:
This blog post is intended solely to describe the possible impact that an action may have on a credit score that is generated using the credit scoring models of VantageScore Solutions, LLC. It is not intended to provide any credit or financial advice or guidance or to recommend the taking of any specific action. The possible impacts described herein are based on hypothetical situations and the actual impact on a credit score may vary depending on various factors, including, among other things, a person’s actual circumstances and history. VantageScore results may vary and not all lenders use VantageScore or may use an earlier version of a VantageScore credit scoring model. All third-party brand marks, logos, trademarks and/or service marks are the property of their respective owners, are used for identification purposes only, and do not necessarily imply product endorsement or affiliation with VantageScore. While VantageScore attempts to verify the accuracy and availability of the listed products and services, it cannot guarantee the accuracy and availability of such products and services and all information in this blog post is presented without any warrant.