Key facts
- Modern credit scoring and alternative data can improve mortgage underwriting efficiency.
- Experian's Power Profile Plus solution allows lenders to pull credit data and request updates without repurchasing.
- Alternative data includes rental payments and buy now, pay later activity.
- Experian is investing in income and employment verification, including a partnership with Workday.
Experian Group President Michele Bodda spoke with HousingWire about how modern credit scoring, alternative data, and new verification solutions are transforming mortgage underwriting. Bodda highlighted that lenders are now able to measure the impact of modernization, moving beyond speculation to practical applications that can improve efficiency and expand homeownership.
She emphasized that the focus should be on having the right data at the right time in the underwriting process, rather than simply more data. Alternative credit data, such as rental payments and buy now, pay later activity, can provide a more complete financial picture, especially for consumers with thin traditional credit files.