VantageScore 4.0 is here!

Lenders are quickly adopting this as an alternative to the long-standing FICO scoring model. Why is this important? Because Vantage Scores are often higher than FICO scores, which could translate to 1. Better Risk-Based Pricing = Better Rate, 2. Loan Program Eligibility due to meeting minimum credit score requirements.

The Vantage Scoring system is often what you see in credit services offered by your bank or other resources, such as Credit Karma. The Vantage scoring model uses a broader set of data when available that may include rent payment history, utilities, cell phone bills, and even bank account cash-flow information (in some implementations).

Real-World Impact: Loan programs and Risk-Based Pricing for setting rates go by credit score tiers. A 719 FICO credit score may barely miss the mark of a 720 score price improvement. The equivalent VantageScore may be in the 730+ range.