Fact Check: New credit scoring model could improve scores for timely BNPL loan payers.

Fact Check: New Credit Scoring Model Could Improve Scores for Timely BNPL Loan Payers

What We Know

The claim that a new credit scoring model could improve scores for timely Buy Now, Pay Later (BNPL) loan payers is supported by recent announcements from FICO, a leading credit scoring provider. On June 23, 2025, FICO unveiled its new credit scoring models, FICO® Score 10 BNPL and FICO® Score 10 T BNPL, which are designed to incorporate BNPL data into the credit scoring process (FICO Unveils Groundbreaking Credit Scores). This innovation aims to better reflect modern consumer behavior and enhance financial inclusion by providing lenders with a more comprehensive view of a consumer's repayment behavior.

According to FICO, these new scores will allow for greater visibility into consumers’ repayment habits, particularly benefiting those who manage their BNPL loans responsibly. The integration of BNPL data is expected to improve credit scores for some borrowers who have been using these loans effectively (Gen Z's beloved Buy Now, Pay Later will soon impact credit scores). This change is significant as it acknowledges the growing role of BNPL loans in the financial landscape and aims to provide a more accurate assessment of creditworthiness.

Analysis

The introduction of FICO's new scoring models is a critical advancement in the credit scoring system, particularly for consumers who utilize BNPL services. The models are based on extensive research and input from major lenders, indicating a strong consensus on the need for such an update (FICO Unveils Groundbreaking Credit Scores). By incorporating BNPL data, FICO aims to capture a broader spectrum of consumer credit behavior, which could lead to improved credit access for many individuals.

However, the effectiveness of these new scores will depend on widespread adoption by lenders and the willingness of BNPL companies to share their data with credit bureaus. As noted by experts, not all BNPL providers currently report their data, which could limit the impact of these new scoring models (Gen Z's beloved Buy Now, Pay Later will soon impact credit scores). Additionally, while the new models are designed to enhance credit scores for timely BNPL payers, there are concerns about potential risks associated with BNPL loans, such as "loan stacking," where consumers take on multiple loans simultaneously (Gen Z's beloved Buy Now, Pay Later will soon impact credit scores).

The reliability of the sources used in this analysis is high, as FICO is a well-established entity in the credit scoring industry, and the information comes from credible news outlets and official press releases. The potential for bias is minimal, given that the information is derived from factual announcements rather than opinion pieces.

Conclusion

The claim that a new credit scoring model could improve scores for timely BNPL loan payers is True. The introduction of FICO® Score 10 BNPL and FICO® Score 10 T BNPL represents a significant shift in how creditworthiness is assessed, particularly for consumers who utilize BNPL services responsibly. While there are challenges regarding data sharing and lender adoption, the overall framework suggests that timely BNPL loan payers could see improvements in their credit scores, thereby enhancing their access to credit.

Fact Check: New credit scoring model could improve scores for timely BNPL loan payers.