As mortgage lenders continue seeking ways get more trustworthy consumers into the housing market, a majority of them are utilizing alternative credit as a means of assessing borrower risk, according to Experian.
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Supporters say pending legislation would help consumers with little or no credit history. But the bill would instead roll back key consumer protections.
Some speculate that the banks who do business with credit reporting agencies may be looking for alternatives after mounting concerns about their ability to keep information private. But breaking up is hard to do.
The average VantageScore last year was higher than it has been since 2007 due to improved hiring and despite stagnant wages that aren't keeping pace with rising debt levels.
Consumer credit bureau and data aggregator Experian will gain a foothold in the U.K. mortgage market by acquiring a minority stake in mortgage brokerage London & Country Mortgages Limited.
Consumer default rates are up month-to-month, which may reflect a gap between spending and income that is stressing second mortgages and bank cards, Standard & Poor's and Experian find.
