Experian: Your Credit Score Just Changed (Again)

GENERATED TITLE: Experian's New "Credit + Cashflow Score": Desperate Move or Genius Play?

Alright, let's get this straight. Experian, one of the overlords of our financial lives, is rolling out some newfangled "Credit + Cashflow Score." Sounds fancy, right? Like they've finally cracked the code to fair lending or something. Give me a break.

The "Future of Underwriting?" More Like the Future of Surveillance.

Scott Brown from Experian calls it "the future of underwriting." Oh, does he now? What he really means is the future of squeezing every last drop of data out of us. They're hooking up your credit history with your bank account info—income, balances, even those embarrassing late-night pizza orders. All to supposedly get a "singular score." It's like they're building a financial profile so complete, they'll know what kind of toothpaste you use. Are we really this willing to hand over our entire financial lives for a slightly better chance at a loan?

And don't even get me started on the "24-month window" into how we manage credit. It's not enough that they judge us on our past mistakes; now they want to track our every move in real-time. It's financial Big Brother, and we're all wearing the same uniform: debt.

They're patting themselves on the back for including "nontraditional financial services" data, too, thanks to Clarity Services. Translation: They're scooping up data on folks who use payday lenders and check-cashing places, the people already struggling the most. It's like kicking someone when they're down, then charging them extra for the privilege.

"Bafflingly Opaque" and Now Even More Invasive

Experian, in its infinite wisdom, is trying to fix the "bafflingly opaque" credit limit process. Apparently, people are confused about how credit limits are decided. So, their solution is to make the whole thing even MORE complicated by adding in even MORE data points? Yeah, that'll clear things up.

According to some PYMNTS report, two-thirds of consumers don't understand how credit limits work. And a third feel like they've been unfairly denied a credit limit increase. No kidding! The whole system is a black box, and now Experian wants to throw our bank statements into the mix. According to Experian Debuts Combined Credit and Cash Flow Scoring Model, this new system will combine credit and cash flow data.

I gotta ask: Is this really about helping people get better credit, or is it about giving lenders even more reasons to deny them?

AI to the Rescue? Don't Make Me Laugh.

Oh, and let's not forget the AI angle. Vijay Mehta from Experian is out there talking about how AI is making transactions "trustworthy." Trustworthy for whom, Vijay? The banks? The lenders? Because last time I checked, AI ain't exactly known for its empathy. It's a cold, calculating algorithm designed to maximize profits, not human well-being.

AI is moving "from back-office automation to frontline decisioning," Mehta says. Which sounds like corporate speak for "we're replacing human judgment with machines that can discriminate faster and more efficiently." Great. Just great.

Experian is also patting themselves on the back for including rental payments in credit scores in the UK. "Great news for renters who are paying on time, every month," they say. But what about the renters who are NOT paying on time? Missing rent payments will "have an adverse effect," offcourse. As if renters didn't have enough to worry about. Experian: Credit scores to include rental payments for first time, is one example of Experian's global reach.

They're also overhauling the scoring bands, getting rid of "poor" and "very poor" and replacing them with "fair" and "low." It's like putting lipstick on a pig. Still a pig.

Then again, maybe I'm just being cynical. Maybe Experian really does have our best interests at heart. Maybe pigs can fly.

So, What's the Real Endgame Here?

This "Credit + Cashflow Score" ain't about empowering consumers; it's about enriching Experian and its lender buddies. They're building a data empire on our financial anxieties, and we're all just lab rats in their experiment.