VantageScore Millennial-Infographic v4 · PDF file Millennial borrowers are conservative when...

Click here to load reader

  • date post

    09-Oct-2020
  • Category

    Documents

  • view

    0
  • download

    0

Embed Size (px)

Transcript of VantageScore Millennial-Infographic v4 · PDF file Millennial borrowers are conservative when...

  • THIN FILE MILLENNIALS: ANYTHING BUT CONVENTIONAL

    THIN FILE

    Someone who has a limited credit history, typically 2 or

    fewer accounts.

    THICK FILE

    Someone who has an established credit history,

    typically 3 or more accounts.

    REVOLVING ACCOUNTS

    An account that allows you to borrow against an established

    credit limit, requiring minimum monthly payments.Credit

    cards, for example.

    Historically, people with more assets and higher

    incomes have thicker credit files and more credit usage.

    Lenders tend to view thick files as less risky

    than those with thin files.

    Thin file consumers typically have lower

    credit scores.

    Some lenders even exclude consumers with

    thin credit files, while others offer them

    subprime credit products.

    Unlike other generations, thin file Millennials generally have similar income

    and asset levels to their thick file counterparts.

    Trended credit data recognizes this shift in behavior and creates

    opportunity for responsible younger borrowers.

    Trended data attributes reveal patterns in credit behavior, creating a more predictive picture of consumer credit.

    EXPECTATION

    REALITY THE TRENDS

    THE FACTS

    THE GLOSSARY

    Silent Generation

    Baby Boomers

    Gen X

    Millennials

    Thin Thin Thin ThinThick Thick Thick Thick

    ASSETS INCOME

    vantagescore.com

    Millennial borrowers are conservative when it comes to opening new credit accounts.

    This shows smart credit behavior.

    Millennials likely have the capacity to handle new credit accounts.

    Older credit scoring models put Millennials

    at a disadvantage.

    Millennials represent an untapped opportunity

    for lenders willing to be their champions.

    THE TAKEAWAY

    + + =