Average national VantageScore® credit score remains stable at 697 as delinquencies increase modestly for all types of consumer loans
New Monthly CreditGauge powered by VantageScore™ Offers Analysis on the main drivers of consumer credit healthh
SAN FRANCISCO, October 28, 2022 /PRNewswire/ — Consumer finance industry stakeholders need timely insights and data analysis to inform decisions and strategies, a function that becomes even more challenging as that the macroeconomic climate is becoming increasingly unstable.
The average national VantageScore 4.0 credit score was 697 in September, which remains historically high…
Recognizing this need and upholding our commitment to transparency, VantageScore has launched Credit gauge, a downloadable report (PDF) complemented by a series of interactive tools that examine both the general health of consumer credit and key credit behaviors that help determine risk. CreditGauge will be provided as an open source tool and will be available for free at VantageScore.com.
CreditGauge provides essential information, including the average national VantageScore credit score, as well as key consumer credit metrics that underpin the VantageScore credit-scoring model, such as delinquencies, balance-to-loan ratios, and openings new accounts. Consumer credit trends are provided at the national level and by major loan types (e.g., general purpose credit cards, also known as bank cards; personal installment loans; car loans and leases; and first mortgages).
Key findings from CreditGauge’s most recent analysis that reflect consumer credit behaviors in September include:
Score flattening: The average national VantageScore 4.0 credit score was 697 in September, which remains historically high, but has leveled off in recent months. While inflation persists, consumers continue to spend and increasingly increase their overall level of debt.
KEEP AN EYE ON DELIQUIENCES: Across all product types and all delinquency stages, rates increased from September 2022 to September 2021, while remaining at historically low levels.
INFLATIONARY IMPACT: As inflation sets in, consumers are leveraging credit to make ends meet. Average credit card usage rose 2.6% year over year, with balances also increasing.
CreditGauge will be delivered as a monthly report to industry stakeholders, along with a series of interactive tools on VantageScore.com. Stakeholders can use the tools to run additional queries on credit metrics and compare current levels to a pre-pandemic period (from January 2020). CreditGauge represents the views and opinions of VantageScore and does not necessarily reflect or represent the views and opinions of its affiliates and owners, including the National Credit Reporting Agencies (NCRA), Equifax, Experian and TransUnion .
About VantageScore Solutions
VantageScore Solutions develops consumer credit scoring models that combine the need for financial inclusiveness and reliable predictivity across all scoring ranges. Known as an industry thought leader, the company’s newest models score approximately 96% of all adults 18+ – including 37 million more people than conventional models – without sacrificing safety and solidity. As a result, lenders using VantageScore can extend credit to those who have been historically marginalized, including minority and low-to-middle income Americans. VantageScore credit scores are used by thousands of lenders, landlords, utility companies, telecommunications companies and many more to determine creditworthiness. Additionally, tens of millions of consumers rely on free access to their VantageScore credit scores to monitor their own creditworthiness.
VantageScore Solutions was launched in 2006 and is owned by the three US National Credit Reporting Societies (CRCs) – Equifax, Experian and TransUnion. Using a patent-protected tri-bureau methodology, VantageScore provides proven, innovative, and more consistent credit scoring models across all three CRCs.
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