Checking Credit Scores is a Good Influence - Other News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Checking Credit Scores is a Good Influence

Checking Credit Scores is a Good Influence

The content is accurate at the time of publication and is subject to change.

Do you check your credit score regularly? If so you may well be ahead of the game when it comes to your finances, according to a new study, showing that Sallie Mae customers who check their scores regularly tend to make healthier decisions about their finances, and manage their finances more sensibly.

They discovered that 65% of individuals who received emails via Sallie Mae every quarter letting them know they can get their credit score for free, were more likely to actually check out their scores, as well as experience an upswing in their credit scores over time. These individuals also had fewer accounts flagged as being past due.

Sallie Mae has been providing their customers with free access to their FICO scores since 2014. “The strategic research highlights the significant benefit of Sallie Mae frequently providing millions of student’s free access to their FICO Scores,” said Marie Morel-Seytoux, vice president, Scores, at FICO.

“FICO Scores are used in over 90 percent of U.S. lending decisions. By having access to their FICO Scores, as well as the factors that affect them, students can better understand their credit, helping increase early credit education on core credit fundamentals as they begin their financial journey,” he added.

The study methodology

The study resulted in a paper called “Does Knowing Your FICO Score Change Financial Behavior? Evidence from a Field Experiment with Student Loan Borrowers,” written by Rourke O’Brien, University of Wisconsin-Madison, Tatiana Homonoff, New York University, and Abigail Sussman, University of Chicago.

During the study from June 2015 until June 2017, they monitored 400,000 Sallie Mae private student loan customers. For the study, 10% did not get the quarterly emails the lender sends out when scores are updated, but they still had free access to their credit scores.

The researchers then looked at what was different between the two groups finding that the reminders and checking credit scores had an effect on people’s financial health.

“Our findings demonstrate how knowing and tracking your FICO Score can improve decision-making and overall financial health, analogous to how the use of a Fitbit can lead to improvements in one’s physical health,” said by Rourke O’Brien. “We are grateful to Sallie Mae and FICO for enabling us to conduct this research.”

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

Experian: Credit Scores Are Up
Experian: Credit Scores Are Up

Posted: January 30, 2018

According to Experian’s eighth annual State of Credit report, the average credit score is now holding at 675, up from 673. And this is just four points short of the average credit score from 2007, all of which means that credit scores are… Continue reading

Core Credit™- A New Service From Equifax
Core Credit™- A New Service From Equifax

Posted: September 10, 2019

Equifax® launched a new service called Core Credit™ last month. This new product allows consumers to receive their Equifax credit report and VantageScore®3.0 credit score free. All data consumers receive is based on Equifax data and is… Continue reading

Freezing Your Credit for Free with the Transunion App
Freezing Your Credit for Free with the Transunion App

Posted: October 08, 2018

Freezing your credit report is now free, and it’s very easy to do with the release of a new app by Transunion, one of the three credit reporting bureaus.With this new app consumers can easily freeze their credit report in real time, and… Continue reading

Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
The Citi Rewards+℠ Card - the only credit card that automatically rounds up to the nearest 10 points on every purchase - with no cap.
For Excellent, Good Credit
Earn unlimited 1.5% cash rewards on all purchases.
For Good, Excellent Credit
See Rates & Fees
Perfect credit not required for approval; we may approve you when others won’t
For Fair/Bad Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!