TransUnion has announced a significant price reduction for its VantageScore® 4.0 mortgage origination score, now available for just 99 cents. This move underscores the company’s commitment to enhancing homebuyer affordability while providing greater value to mortgage lenders. According to a recent study conducted by TransUnion, the new pricing structure could lead to over $900 million in potential savings for both lenders and consumers.
The pricing adjustment aligns with the Federal Housing Finance Agency’s (FHFA) initiative to increase competition in the mortgage market, ultimately aiming to make housing more accessible for Americans. By reducing costs associated with credit scores, TransUnion positions itself as a leader in the credit bureau industry, encouraging lenders to adopt VantageScore 4.0 over its more expensive rivals. In addition, TransUnion plans to offer VantageScore 4.0 free of charge to mortgage customers who purchase a FICO score from the company.
Satyan Merchant, Senior Vice President and Mortgage Business Leader at TransUnion, stated, “TransUnion is committed to lowering the cost of mortgage origination for every American looking to buy or refinance a home.” He emphasized that VantageScore 4.0 is designed to facilitate responsible credit growth while maintaining consistent risk performance across various economic conditions.
Enhanced Data Insights for Better Decision-Making
VantageScore 4.0 represents a next-generation credit scoring model that draws upon enhanced data insights. By leveraging trended credit data along with rental and utility payment histories, VantageScore and TransUnion provide lenders with unmatched predictive power. TransUnion is the only credit bureau offering 30 months of trended credit data, enabling lenders to gain a comprehensive view of consumer credit behavior.
To support lenders and investors in adopting VantageScore 4.0, TransUnion will continue to provide historical data and analytical support at no cost. This initiative allows lenders to conduct testing through TransUnion’s TruIQTM Data Enrichment platforms, ensuring they can confidently assess the new scoring model.
Merchant also acknowledged the collaboration with the FHFA and Government-Sponsored Enterprises as they work toward implementing VantageScore 4.0 in the mortgage lending sector. “TransUnion appreciates the ongoing collaboration of the FHFA and the Government Sponsored Enterprises as they complete implementation milestones for VantageScore 4.0 in mortgage lending and remains dedicated to supporting clients through the transition toward widespread mortgage market adoption,” he noted.
About TransUnion
TransUnion, listed on the New York Stock Exchange as TRU, operates as a global information and insights company. With a workforce of over 13,000 associates across more than 30 countries, TransUnion focuses on creating a trustworthy marketplace by ensuring individuals are accurately represented. The company’s mission, encapsulated in its slogan Information for Good®, strives to foster economic opportunity and personal empowerment for millions worldwide.
For further information about TransUnion and its innovative solutions, visit their official website at [TransUnion](http://www.transunion.com/business).
