Having knowledgeable and educated members who understand the importance of a good FICO^® Score is immensely beneficial to the overall financial health and well being of both your members and your credit union as a whole. Many members mistakenly assume a "good enough" credit score will ensure that they can get a credit card or approved for a mortgage or auto loan, and that's "okay enough." Especially younger adults, who are just getting used to the burdens of adulthood, won't think twice about being late on a payment, as they don't understand the impact this has on both their short and long term financial health. Your credit union's role in the matter of credit scores is teaching your members that just okay is not okay. Here are some points to hit home with members on why they should pay attention to their credit scores, as well as benefits these bring to your credit union.

If you have used a travel website lately to book a flight, you may have noticed a reliability score or rating for flights. This is expressed as a percentage of the time that the flight will actually arrive on schedule to its destination. Advanced sites will use a sophisticated algorithm that will factor in weather and airport delays, the length of delays, cancellations of flights altogether, and much more. Basically telling you that while the flights you book will get you from Point A to Point B, some airlines will be more reliable to get you there on time. The difference between a standard credit score versus a FICO^® Score can be viewed in much the same manner. While they both will help determine the credit worthiness of an individual, a FICO^® Score will provide a much more reliable view of your member's credit risk. 

A credit union executive is always looking for ways to strengthen member relationships, through extending product and service offerings, ensuring the best talent is on staff, and providing members special benefits and events.  One service  that is becoming more common with credit unions is to offer members free access to their FICO^® Score.  By doing so, it establishes trust, loyalty and growth with its members, while at the same time increasing profitability.  It’s a win-win!

It’s easy to forget about your credit score until you need it. When it comes time for a loan or credit card application, you don’t want to be surprised with a rejection because you didn’t know that your credit score has gone down since the last time you checked. Most people do not check their credit scores regularly, if at all. Some are deterred by the misconception that checking will ding them some points. There are several reasons why everyone can benefit from checking their credit score. Here’s why your credit union should encourage members to check theirs.