VantageScore released today the results of a market study conducted by Oliver Wyman, a global leader in management consulting.
Oliver Wyman studied usage of VantageScore credit scores over a 12-month period and found that nearly 10.5 billion credit scores were used by over 2,800 unique users. This represents a 20% increase in the number of scores used versus last year’s study.
Peter Carroll, partner at Oliver Wyman said, “We found that lenders are getting more comfortable with using VantageScore credit scores for underwriting decisions.”
So where’s the biggest increase?
Among financial institutions, credit card issuers were the largest users of VantageScore credit scores and they accounted for approximately 4.4 billion scores used overall, of which at least 68 million VantageScore credit scores were used for new card originations.
The results are particularly interesting for attendees of the MBA, as mortgage lenders are lagging behind the other sectors when it comes to adopting the system.
“The study showed deep penetration in all markets except the mortgage sector where lenders are required to use outdated, conventional scoring models,” the company said in a statement.
Brian Montgomery, the commissioner of the FHA, said that updating tech at HUD was also a big priority in an exclusive podcast with HousingWire last week.