U.S. Mortgage Industry Continues Rollout of FICO 10T and VantageScore 4.0

The U.S. mortgage industry is continuing its gradual rollout of FICO Score 10T and VantageScore 4.0, marking a significant shift in how mortgage lenders evaluate creditworthiness.

Unlike older scoring models, these updated credit scores use trended credit data to assess long-term borrowing and repayment behaviour. VantageScore 4.0 may also consider eligible rent, utility, and telecom payment history**, helping provide a broader picture of a borrower's financial responsibility.

Industry experts believe the transition could improve access to home loans for consumers with limited traditional credit histories, while giving lenders more accurate tools to assess credit risk. As adoption expands, borrowers may benefit from having more types of positive payment history reflected in their credit profiles.

The rollout is expected to continue across the mortgage industry as lenders and market participants prepare for wider implementation of the new scoring models.