New Study Highlights Need For Increased Credit Literacy

Originally posted on CUInsight.

By Randy Salser, President, NAFCU Services

As the availability of credit reports has become more convenient due to the pervasiveness of the Internet, knowledge of credit scoring still suffers. The National Credit Score Knowledge Survey results were released this month by the Consumer Federation of America (CFA) and VantageScore Solutions.  Among the surprising findings in the study:

  • While 80% of respondents consider their knowledge of credit scores to be good, fair, or excellent—94% of participants do not know which factors are among those used to calculate a credit score
  • Only 7% know that neither FICO nor VantageScore will lower one’s credit score if multiple inquiries are made during the same two-week window
  • Only 50% of respondents understand the three instances when lenders are required to inform borrowers of the credit score used in the lending decision
  • 53% of millennials surveyed don’t know that age is not used in calculating credit scores
  • Only 50% of millennials surveyed know that credit repair companies are rarely helpful in fixing credit scores
  • 51% of millennials surveyed have not obtained a free copy of their credit report, while 74% of older adults have obtained a free copy of their credit report

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National Financial Literacy Month is an Opportunity for Credit Unions

Originally posted on CUInsight.

By Randy Salser, President, NAFCU Services

With the financial pitfalls of the Great Recession behind us, and security breaches becoming a common threat, members are more mindful of their personal finances than ever before.  Because credit unions are a reliable and trusted source, they have the unique opportunity to educate their members about financial literacy. For expertise on where credit unions should focus this National Financial Literacy Month, we turn to our Preferred Partners:

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Credit union industry experts: What’s in store for 2014

Originally posted on CUInsight.

By Randy Salser, President, NAFCU Services

The NAFCU Preferred Partners represent a select roster of companies that are deeply committed to the NAFCU mission and credit union community. Join us at the NAFCU Strategic Growth Conference for more ideas on innovation and growth »

For a look at what lies ahead in 2014 for credit unions, we turned to the Preferred Partner experts:

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