Want to increase your credit score? Experian, one of the three big credit reporting agencies, has a figured out a way to do so. I had Rod Griffin on my show yesterday to talk about the new credit score improvement tool. Experian is in the process of launching Boost, a free, groundbreaking online platform that allows consumers to instantly influence their credit scores.
Through the new platform, consumers can grant permission for Experian Boost to connect to their online bank accounts to identify and access utility and telecommunications payments. After a consumer verifies the data and confirms they want it added to their Experian credit file, an updated FICO ® Score is delivered in real time.
They felt that these particular payments are a lot like credit payments and should be included as a means of credit scoring. Here are the results thus far:
Two out of three credit scores improved
10% of thin-file consumers became scoreable (thin file refers to the consumer that doesn't have a lot of credit experience)
For consumers with a score below 680, 75% saw an improvement in their credit score
14% of consumers with a credit score at or below 579 moved to a near prime score between 620 – 679
Depending on credit tier, 5-15% moved into a better score category
It is worth checking out. You can get signed up on their waiting list by going to www.experian.com/boost. They are planning to roll it out in February. They will notify you when you can connect your bank account to their system. Through this connection they can get access to payment information. You can also remove the information from your credit report at anytime.
Having said all of that ... it is a free service and free has a price. As far as I know you never give a credit card. You probably also sign yourself up to all types of new emails. It is maybe a small price to pay for an increase to your credit score. Plus you can always unsubscribe.
I signed up for it. It was an easy process to go through. Now I will wait to see the results. Go try it for yourself!