TransUnion to overhaul consumer credit scoring system

TransUnion is launching an overhaul of its consumer credit rating system next month, expanding its scoring range from a maximum of 710 to a new scale of 0 to 999. The new system will replace the current “very poor” rating with “very low” and extend up to “excellent.”

Beyond the numerical range, the agency is incorporating a broader set of data to reflect consumer financial behavior with more precision. This includes analyzing account trends, such as how account balances change over time, and how credit cards are utilized. The update aims to differentiate between individuals with poor credit and those with little to no credit history, potentially offering a fairer assessment for those new to credit.

James Robinson, managing director of consumer interactive for TransUnion in the UK, stated the new score is designed to minimize consumer confusion by using a “fuller picture” of behaviors over time rather than a single snapshot. The rollout will be phased in from next month until June 2027. During this period, some consumers may see different scores depending on the specific app or provider they use.