A Detailed Comparison of Experian Boost Vs UltraFICO Affect Score

Innovation typically leads to disruption, and it's not an issue, mainly when it helps consumers. There were several firsts for credit scoring and reporting in the past year. Two of the most considerable modifications were announced with the Experian Boost Vs UltraFICO Affect Score launch. Each Experian Boost and UltraFICO(tm) utilize a new method of calculating credit scores by using data that was not previously used in calculating scores.

What Is Experian Boost?

Experian Boost lets you as the very first to include your telecom and utility bill record on your Experian credit report, offering the opportunity to enhance your credit score. Suppose you've paid your telecom and utility bills punctually. In that case, Experian Boost will factor the positive history of your payments into your credit report that can, in many cases, enhance your FICO score.

The best part? You are in charge. You can grant Experian the right to link your bank online accounts to track telecom and utility payments. Once you've verified the information from your payment and confirmed that you'd like it to be added to the Experian credit report, you'll be notified of the most recent FICO Score. The entire process could take just five minutes, and the resultant FICO Score boosts are immediate. Experian Boost only considers positive payments, so the lateness of a phone or utility payment won't affect the FICO score. You can opt-out of Experian Boost at any time.

What Is UltraFICO?

Using this UltraFICO Score makes it possible to leverage your excellent banking habits to improve your FICO(r) score. If you have the lowest FICO Score or have any score at all and you're not eligible, you'll have the chance of getting the UltraFICO score dependent on the information about your bank that you have shared.

The UltraFICO score is calculated on the activity of your savings, checking, and money market account, which demonstrates your financial responsibility. This information includes the amount of money is within your account(s) and how long you've been using those accounts, and the amount you spend on these accounts. Although this information will not show up on your credit reports, it may be used to improve your FICO scores.

Can Experian Boost and UltraFICO Work Together?

The lenders can use Experian Boost and UltraFICO to obtain the most accurate assessment of a customer's creditworthiness. Experian Boost provides lenders with additional information about payment history. UltraFICO offers lenders with new analysis that incorporates aspects of consumer cash flow into a brand-new scoring algorithm. Both tools give lenders an accurate picture of the creditworthiness of a customer.

What Is the Procedure for How Boost and UltraFICO Work?

Boost

This free service allows you to earn points on your existing credit score. Here's how:

• Join Experian's website, link your bank account, and allow Boost to check your bank transactions for phone and utility payments.

• Choose the bills you wish to add to the Experian credit score. Only select the ones you are sure you have been able to pay on time. Since scores are calculated based on the information contained in your accounts and financial records, adding these positive records of payment can improve your score.

• Review your performance. When you sign up for Boost provides you with access to the FICO score, which means you can observe the immediate results of making use of it.

UltraFICO

The new FICO score is available for free. However, you must sign up. It operates in two steps:

• Sign up on FICO's website and connect your account with a bank, allowing the site to analyze your transactions. The scoring algorithm determines if you always have cash in the bank, the length of time your accounts are open, how active they are, and how often you've got an unpaid balance.

• Before applying for a credit card or loan, inquire if the lender uses UltraFICO. Apply normally. If the lender decides that your credit score isn't adequate to be considered a candidate, you may ask them to look at your UltraFICO to determine whether you can get another chance. According to Gregory Wright, chief product officer at Experian Consumer Information Services, credit is checked only once throughout the entire process.

Conclusion

Both of these products aim to provide easier access to credit. Many consumers do not have access to credit because they do not have enough credit activities for lenders to consider. Experian Boost and UltraFICO assist those in need of credit for sound financial management and give them a greater chance of achieving the financial targets they have set.