FICO 10T, the newest credit scoring model, is being adopted by all three major bureaus and most major lenders, using trended data that analyzes payment patterns over 24 months rather than single-point-in-time snapshots.

What Changes

Consumers who consistently pay balances in full will see score increases of 20-40 points. Those who carry balances and make minimum payments could see decreases even with no missed payments. The model rewards consistent financial behavior.

Action Items

Financial advisors recommend paying balances in full for at least 6 months before applying for major loans to maximize the new scoring model's benefits.