VantageScore 4.0 Outperforms FICO 10T

• VantageScore 4.0 Outperforms FICO 10T in Expanding Access to Credit for Millions of Qualified Consumers
• Market Adoption By Large Lenders Signals Clear Preference for VantageScore 4.0
• Transparency Gap Raises Questions About 10T Performance

SAN FRANCISCO--(BUSINESS WIRE)--VantageScore today announced the results of an analysis demonstrating that VantageScore^® 4.0 outperforms FICO 10T. In a first-of-its-kind analysis, VantageScore 4.0 delivers broader consumer coverage, greater transparency and a proven track record in real-world lending environments. Our head-to-head study confirms that VantageScore 4.0 is more predictive than both FICO 10T and Classic FICO. Mortgage lenders are encouraged to explore the benefits of VantageScore 4.0 by visiting the VantageScore Mortgage Resource Center. Lenders and partners interested in adopting VantageScore models or participating in pilot programs can contact their credit bureau representatives.

“Lenders are looking past unproven marketing claims by our competitor and instead focusing on real-world VantageScore 4.0 superior results,” said Tony Hutchinson, EVP and Head of Public Affairs at VantageScore. “VantageScore 4.0 not only outperforms FICO 10T, but does so with a longer track record, broader adoption and far greater transparency. That combination matters when you are making decisions that affect billions of dollars in credit risk for millions of Americans.”

FICO 10T has seen limited real-world adoption beyond controlled trials. In contrast, VantageScore 4.0 has been in active use for more than five years and is currently deployed by thousands of financial institutions across the credit ecosystem. FHFA, the FHA, Veterans Administration and many of the largest Federal Home Loan Banks all accept VantageScore 4.0. No performance data for 10T has been provided for these institutions.

VantageScore 4.0 delivers a materially more inclusive view of creditworthiness, scoring approximately 33 million more consumers than FICO 10T. Within this population, nearly 10 million individuals achieve a VantageScore of 620 or higher, levels generally considered creditworthy in mortgage underwriting.

While VantageScore continues to publish extensive historical performance datasets and provide ongoing access to analytics through tools such as RiskRatio™, comparable transparency has not been provided for FICO 10T—particularly in the context of GSE-relevant mortgage data.

Key Takeaways

• Stronger Market Validation: Large lenders view VantageScore 4.0 as equal to or better than FICO 10T, supported by real-world deployment and performance.
• Broader Consumer Coverage: VantageScore 4.0 scores 33 million more consumers, including nearly 10 million with scores above 620 who are invisible to FICO 10T.
• Proven Track Record and Transparency: With more than five years of market use and extensive published datasets, VantageScore 4.0 offers a level of validation and openness not currently matched by FICO 10T.

About VantageScore®

VantageScore is the fastest-growing credit scoring company in the U.S., and is known for the industry’s most innovative, predictive and inclusive credit score models. In 2024, usage of VantageScore increased by 55% to hit 42 billion credit scores. More than 3,700 institutions, including nine of the top 10 U.S. banks, use VantageScore credit scores and digital tools to provide consumer credit products or generate greater insights into consumer behavior. The VantageScore 4.0 credit scoring model scores 33 million more people than traditional models. With the FHFA allowing the immediate use of VantageScore 4.0 for Fannie Mae and Freddie Mac guaranteed mortgages, the company is also ushering in a new era for mortgage lending.

VantageScore is an independent joint venture company whose owners include Equifax and TransUnion.