Prepare For Credit Score Changes

Big changes are coming to how your credit score is calculated. The most notable change involves what’s known as trended data, meaning scores will take into account the direction of a borrower’s debts on a monthly basis. Someone who is paying down debt is more likely to be scored better than someone who is making minimum monthly payments, but is slowly accumulating credit card debt. The goal is to identify warning signs long before borrowers get into major trouble.