Monday , 17 June 2024

How To Stay Ahead Of The Game While Credit Scores Evolve

It seems that in order to live the American dream, you need to be super rich or gave a great credit score. Most people have ups and downs with their finances over their lives, [however, and] this can lead to a less-than-perfect credit score that can be difficult to fix…Many people speculate, [though,] that the way our credit is scored might be changing in the future [so] to be able to stay ahead of the credit game, we need [to] learn what the changes are going to be and how to keep up. Below are a few of the top predictions that most are making and how they can affect most people’s credit scores in their files.

The original article has been edited here for length (…) and clarity ([ ]). For the latest – and most informative – financial articles sign up (in the top right corner) for your FREE tri-weekly Market Intelligence Report newsletter (see sample here)

Changes Already Happening

Last year saw major changes in how credit scores are calculated by the top reporting credit bureaus. These changes have already affected millions across the country.

  • Many people saw an increase in their scores because of many judgments and tax liens being deleted off of their credit reports.
  • Last September, the top bureaus also changed how medical debts get reported on people’s credit reports as well. They will now remove it from your report permanently once the debt has been paid in full.
  • Additionally, they are now adding a waiting period of at least six months before a medical debt can even be added to a credit report. These changes alone have had a good impact on so many people and their credit scores.

Many financial experts are predicting that more changes to the way credit scores are calculated will take place in the following few years. Below are a few of the top predictions that most are making and how they can affect most people’s credit scores in their files.

Monitoring Your Credit Will Be More Important

In 2017, hackers got into Equifax and breached their customer’s data. There was a serious fallout from this breach that has had a huge impact on the way that consumers monitor their credit files. Millions of Americans found that the breach cost them a lot and put their information at risk. The cyber thieves stole personal information from people’s files such as their addresses, Social Security numbers other valuable and personal information.

This breach has caused many people to begin monitoring their credit and personal information much closer than before. It is likely that the breach will have an impact for those that had their information stolen for years to come. It is certain that the thieves will be using some of the information they took for ill purposes in the near future. This has millions of people concerned at what that could mean for them.

Credit Score Alternative

Another prediction is that there will be a growing trend where there is going to be more credit score alternatives to use. This trend has already been used often in the area of utility and rent payments. The future sees this trend growing as companies who do credit scoring will be looking for other ways in which to calculate a person’s loan risks.

More Regulations Coming For Credit Reporting

Lastly, there is a prediction that there will soon be more regulation as to how credit reporting companies will be able to calculate how risk is determined. These companies are not able to use any factors when calculating a person’s risk that is not predictive. This can include some factors such as gender, race and age.

Scroll to very bottom of page & add your comments on this article. We want to share what you have to say!

Related Articles From the munKNEE Vault:

1. Simple Steps To Improve Your Credit Score – Quickly

While most people understand that their credit score is the key to getting approved for a loan, not all realize that having a high credit score also improves their finances because it can save you money. The higher your credit score, the lower the interest rate you will qualify for, thus saving you money over the life of your loans. This post guides you through your credit score, from everything that determines it, what helps and hurts a score, what leads to bad credit, how to check your score, and most importantly, how to improve your credit score fast.

2.  3 Tricks to Repair Your Credit (FICO) Score

Anyone who has bad credit will want to find some tips to improve credit score problems so they can get approved for loans, get good insurance rates. This article provides some simple but effective tips that can help you repair your credit yourself. Words: 442

3. What You Need To Know About Your FICO Score

FICO scores are the most widely used credit scores in the U.S. According to, 90% of the top U.S. lenders access these scores to make important credit decisions. This article presents the 5 factors used to determine your FICO score and where (and at what cost) to get such information.

Support our work: like us on Facebook, follow us on Twitter, or share this article with a friend. – Voted the internet’s “most unique” financial site! (Here’s why)