Major updates to credit scoring models are expanding access to loans, especially mortgages, for millions of Americans.

Today’s Top News  

Fannie Mae, Freddie Mac, and the FHA have started accepting VantageScore 4.0, with FICO Score 10T set for wider rollout soon. These new models are the biggest shift in mortgage credit scoring in over 30 years.

What’s Changing  

  • Alternative data now counts: On-time rent, utility, and phone payments can boost your score.

  • Trended data is in: Lenders look at your payment patterns over time, not just a snapshot.

  • Paid medical debts and small collections continue to have less impact.

  • Responsible Buy Now, Pay Later (BNPL) payments are increasingly factored in.

Good News for Consumers  

These changes particularly help first-time homebuyers, young people, immigrants, and those with limited credit history. Many with thinner files could see score improvements and better loan approval chances.

National average credit score remains around 715 (FICO).

Quick Tips to Build Your Score  

  • Pay all bills on time.

  • Keep credit card utilization below 30%.

  • Check your free credit reports weekly at AnnualCreditReport.com.

  • Dispute any errors immediately.

The credit landscape is becoming more inclusive while still rewarding responsible financial habits. Stay proactive — the changes favor those who pay bills consistently.