Greater transparency in buy now, pay later activity is key to helping consumers build their credit histories and supporting responsible lending.
Experian North AmericaScott Brown, Group President, Financial Services
Affirm plans to report all pay-over-time loan products issued from April 1, 2025, and beyond, including Pay-in-4. The move will help drive greater transparency into the buy now, pay later market while helping consumers build their credit histories over time.
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Today, we stand at the forefront of a digital revolution that is reshaping the financial services industry. And, against this backdrop, financial institutions are at vastly different levels of maturity; the world’s biggest banks are managing large-scale infrastructure migrations and making significant investments in AI while regional banks and credit unions are putting plans in place for modernization strategies, and fintechs are purpose-built and cloud native. To explore this more, I recently had the privilege of attending the annual Reuters NEXT live event in New York City. The event gathers globally recognized leaders across business, finance, technology, and government to tackle some of today’s most pressing issues. On the World Stage, I joined Del Irani, a talented anchor and broadcast journalist, to discuss the future of lending and the pivotal role of data and AI in building a more inclusive financial system. Improving financial access Our discussion highlighted the lack of access to traditional financial systems, and the impact it has on nearly 100 million people in North America alone. Globally, the problem affects over one billion people. These people, who are credit invisible, unscoreable, or have subprime credit scores, are unable to secure everyday financial products that many of us take for granted. What many don’t realize is, this is not a fringe subset of the population. Most of us, myself included, know someone who has faced the challenges of financial exclusion. Everyday Americans, including young people who are just starting out, new immigrants and people from diverse communities, often lack access to mainstream financial products. We discussed how traditional lending has a limited view of a consumer. Like looking through a keyhole, the lender’s understanding of the person in view is often incomplete and obstructed. However, with expanded data, technology, and advanced analytics, there is an opportunity to better understand the whole person, and as a result have a more inclusive financial system. At Experian, we have a unique ability to connect the power of traditional credit with alternative data, bringing a more holistic understanding of consumers and their behaviors. We are dedicated to leveraging our rich history in data and our expertise in technology to create the future of credit and ultimately bring financial power to everyone. The future of lending After spending two days with over 700 industry leaders from around the world, one thing is abundantly clear: much like the early days of the internet, today, we are at the cutting-edge of a technical revolution. Reflecting on my time at Reuters NEXT, I am particularly excited by the collective commitment to drive innovative, and smarter ways of working. We are only beginning to scratch the surface of how data and technology can transform financial services, and Experian is positioned to play a significant role. As we look to the future, I am excited about the ways we will create new opportunities for businesses and consumers alike.
The advertising ecosystem has seen significant transformation over the past few years, with increased privacy regulation, changes in available signals, and the rise of channels like connected TV and retail media. These changes are impacting the way that consumers interact with brands and how brands understand and continue to deliver relevant messages to consumers with precision. Experian has been helping marketers navigate these changes, and as a result, our marketing data and identity solutions underpin much of today’s advertising industry. We’re committed to empowering marketers and agencies to understand and reach their target audiences, across all channels. Today, we are excited to announce our acquisition of Audigent—a leading data and activation platform in the advertising industry. With Audigent’s combination of first-party publisher data, inventory and deep supply-side distribution relationships, publishers, big and small, can empower marketers to better understand their customers, expand the reach of their target audiences and activate those audiences across the most impactful inventory. I am excited to bring together Audigent’s supply-side network as a natural extension to our existing demand-side capabilities. Audigent’s ability to combine inventory with targeted audiences using first-party, third-party and contextual signals provides the best of all worlds, allowing marketers to deliver campaigns centered on consumer choices, preferences, and behaviors. The addition of Audigent further strengthens our strategy to be the premier independent provider of marketing data and identity, ultimately creating more relevant experiences for consumers. To learn more about Experian and Audigent, visit https://www.experian.com/marketing/ and https://audigent.com/.
Just how loyal are consumers to a particular make or model of vehicle? A new Experian Automotive study answers this question by highlighting the loyalty behavior of consumers who got rid of their previous vehicle to purchase a new one. The analysis showed that, overall, Ford owners had the highest percentage of loyalty when returning to market, with 60.8 percent purchasing another Ford vehicle. Rounding out the top five makes with the highest percentages of loyal consumers were Toyota, Subaru, Kia and Lexus, with 59.1 percent, 57.7 percent, 57.2 percent and 55.9 percent returning to buy another vehicle of the same make. “Vehicle loyalty is an important industry metric because it tells automakers how successful their vehicles are with the general public,” said Brad Smith, Director of Automotive Market Statistics for Experian Automotive. “When analyzing loyalty, Experian Automotive uses disposal methodology, meaning we track when a consumer replaces a vehicle that he or she originally purchased new with another new vehicle. This approach creates a more direct correlation between a purchased and owned vehicle to provide automakers and dealers with insights that can become actionable with regard to production volumes, design changes or sales incentives.” The analysis also looked at the loyalty rates of some of the most popular vehicle segments on the road, including entry-level CUVs, full-sized pickups and small economy cars. The models with the most loyal consumers in each category include the Honda CR-V, the Ford F-150 and the Toyota Corolla, with 41.6 percent, 45.0 percent and 30.4 percent of their drivers returning to buy another vehicle of the same make and model. For more information about Experian insights into the automotive market, please visit ExperianAutomotive.com.
Experian Data Breach Resolution and BillGuard®, the leading personal finance security company, have launched a strategic collaboration to better protect consumers during an unprecedented era of identity theft. Responding to the recent wave of payment card breaches, the companies unveiled an advanced identity protection suite, combining BillGuard’s award-winning card fraud monitoring mobile application with Experian’s award-winning identity protection product, ProtectMyID®. A sharp increase in data breaches over the last several years has compromised the payment cards of millions of American cardholders. Fraudulent use of compromised credit cards and debit cards now accounts for more than 85 percent of all identity theft, which causes nearly $25 billion in financial damage in the U.S. each year . Unfortunately, financial institutions detect less than half of ECF, leaving cardholders to catch the rest – or personally absorb the financial loss. BillGuard’s popular mobile application utilizes crowdsourcing techniques and big data analytics to alert cardholders to suspicious transactions that have posted to their credit cards, debit cards and bank accounts. The app also sends data breach alerts if a cardholder has transacted at a retailer during a breach period and provides card location alerts when a card is used away from the owner’s smart phone, indicating the card is probably not being used by its owner. The new joint offering will allow consumers to access the ProtectMyID identity theft protection suite within the BillGuard app, along with the following BillGuard features: Card Fraud Monitoring and Alerts – Unlimited credit card, debit card, ATM and bank accounts monitored 24/7 for suspicious activity. Card Location Alerts – Alerts cardholders when their credit or debit card is used at a store or ATM away from them, using geolocation data from their mobile phone. Data Breach Monitoring and Alerts – Alerts cardholders when they have shopped at a merchant during a breach period, helping them immediately monitor their cards for fraud. Spend Tracking and Analytics – Helps consumers stay on top of exactly where their money is going with visual analytics and quick, email-like transaction review. Card Concierge – Cardholders can resolve billing inquiries and disputes with merchants directly from within the BillGuard app. For more information about BillGuard, visit BillGuard.com. If you are a ProtectMyID member, please download the BillGuard app today for free from the Apple or Google Play stores.
At Experian, we focus on helping consumers navigate and better understand the world of credit. Recently, we’ve made some changes within our consumer products. We’re excited to share all the developments we’ve been working on – not the least of which is the inclusion of offering our members their FICO® Scores using Experian data. FICO® Scores are used in 90 percent of credit decisions. They’re the credit scores that most consumers recognize as being most relevant. We know this because they told us. Consumers asked us about FICO because a majority of lenders use FICO® Scores as a factor in their credit decisions – and we heard them. It’s not just a FICO® Score that we’ll deliver to consumers as a part of these enhancements. A host of other product features are being added to pair the score that people trust with the resources they need to live knowledgeably, and own their financial futures. The enhancements bring together our identity fraud resolution assistance and best-in-class customer care agent support, combining them with new elements like score factors, educational information about FICO® Scores, and broad web accessibility to create immense new value for our members. People have asked us for more ways to understand their credit and track it when they’re on the go. We’re passionate about giving that flexibility, security and information to our members. They deserve it. Our consumer products help connect people with their credit so they can experience financial freedom in new ways. That’s what we’re continuously looking at: how to show all the ways that each person’s behavior shapes his or her credit, and create resources that help people make wiser decisions with it. Helping people find their credit inspiration—and affirming the value of their focus—isn’t easy, but it is important. That’s how we turn data into insights, and impact the lives of our members. They trust us to do just that, and maintaining their trust remains one of my top priorities. Bringing together Experian and FICO® as part of this update just makes sense. It helps us deliver an incredible asset to members wherever they are in their financial lives. Credit is truly a lifetime journey – and one where many have questions to ask of a trusted partner. Combining a FICO® Score with the detail of an Experian credit report is a natural evolution that helps keep our products strong, but we’re not done making improvements just yet. We’re ready to live the future with our members. We see it as a place where we’ll always be seeking new horizons to drive toward. There’s a lot to look forward to at Experian. And there always will be. Check out our official announcement here. Check out more on Experian Credit Tracker here. This article is provided for general guidance and information. It is not intended as, nor should it be construed to be, legal, financial or other professional advice. Please consult with your attorney or financial advisor to discuss any legal or financial issues involved with credit decisions.
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