Score Migration Impact to Credit Ecosystem

At the start of the pandemic, many consumers’ credit scores increased after leveraging government assistance to pay down debts and lower credit utilizations. When lending resumed in a high inflationary environment, lenders saw an increase in new credit product originations. Recently, increased payment obligations as a result of these loans are contributing to rising delinquencies.

A newly released TransUnion study explored how changes in score trends are impacting the credit ecosystem. Read our market brief to learn:

• How credit score distributions have changed since before the pandemic
• The role trended credit data attributes can play in helping lenders mitigate risk