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But there's one place they're notable absent: your credit report. Earlier this year, Apple became the first major BNPL provider to start reporting all user account information to a credit reporting agency. Providers including AfterPay, Affirm and Klarna already report some loans to the credit bureaus and experts say more are likely to follow, paving the way for a consumer's BNPL history to factor into their credit history and ultimately their credit score. (One of the main aspects of a credit score comes down to your history of paying bills on time.) When BNPL credit reporting could sting
Persons: Klarna, Liz Pagel, BNPL, Wells, Tim Quinlan, Ethan Dornhelm, TransUnion's, Silvio Tavares, Tavares, Pagel Organizations: Apple, Adobe Analytics, CNBC, Finance Locations: TransUnion, Wells Fargo
A combination of inflation, increased interest rates, and the end of pandemic-tied relief, such as the moratorium on student loan payments, has led to record credit card debt, experts say. A recent report from credit rating company Moody’s found credit card delinquencies are now well above 2019, or pre-pandemic levels. If you're facing increased credit card debt, while feeling the ongoing effects of inflation, here's what to consider:ASK FOR A RATE CUTPhotos You Should See View All 45 ImagesOne of the first things you should do is ask your credit card company to lower your rates. While the Federal Reserve signaled Wednesday that its first interest rate cut is likely months away, the average credit card interest rate is already far and away higher than the rate set by the Fed. PAY OFF HIGHER-INTEREST DEBT FIRSTKnown as the “avalanche approach,” paying off debt that accumulates interest more quickly will always be more efficient than paying off lower-interest debt first.
Persons: Moody’s, Silvio Tavares, , Kia McCallister, Charles Schwab Organizations: , Federal Reserve, ASK, Fed, National Foundation, Credit, nfcc.org, Federal Trade, Public, Bureau of Labor Statistics, Consumer Federation of America, America, Associated Press, Charles, Charles Schwab Foundation, Inc, AP Locations: realtor.com
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailVantageScore CEO: U.S. consumer is 'quite healthy,' as credit scores rise despite inflation, mounting debtA new report shows that consumers credit scores have held up, even as they have taken on more debt. The report is from VantageScore, an independently managed joint venture of the credit reporting agencies - Equifax, Experian and Transunion. Sharon Epperson spoke with Silvio Tavares the CEO of VantageScore about the health of the consumers and what you need to know about your credit scores.
Persons: Transunion, Sharon Epperson, Silvio Tavares Locations: VantageScore
In the long run, this generation may also be hit by cuts in Social Security benefits. In the longer run, millennials' retirement may also be affected if Social Security benefits are cut. Millennials in their 30s are accruing debt faster than their peersWhile Experian and Credit Karma research show Gen X has the highest average debt, millennials still hold a lot of debt too — and are accumulating it faster than anyone else. Millennials face looming retirement insecurityIf all of that wasn't enough, millennials' retirement situation in the future could be different from Gen X and baby boomers. Additionally, millennials' retirement safety nets are likely to be affected if they can't get full Social Security benefits.
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