A new tool that uses your banking data to generate a credit score

Good news for the more than 60 million U.S. adults who don’t have credit scores: TransUnion just released a new product that can potentially generate a credit score for you.

Instead of only evaluating your history with debt, as most credit scores do, TransUnion’s new TruVision Alternative Bank Risk Score takes your banking history into consideration too. In other words, even if you’ve never had a credit card or loan, your history with checking and savings accounts can help you build up a credit score.

“TruVision Alternative Bank Risk Score provides a balanced view by incorporating both positive and negative banking data,” said Liz Pagel, senior vice president of consumer lending at TransUnion. “This can help consumers with limited or no credit history gain access to credit, ultimately promoting financial inclusion and stability.”

So far, TransUnion is tight-lipped about the finer details of its new scoring model, but Pagel shared that it ranges from 500 to 900, and it will be used exclusively when consumers apply for unsecured loans (i.e., loans with no collateral).

When you apply for a personal loan, many lenders look at your traditional credit scores to determine if you qualify. But now, they can also choose to pull your TruVision Alternative Bank Risk Score from TransUnion.

When will a lender pull this score? TransUnion just introduced the TruVision Alternative Bank Risk Score, so your lender may not have access to it just yet. But as it becomes more widely adopted, lenders are most likely to pull this score if you don’t have a credit history, or if you don’t qualify for a loan based on your traditional credit scores.

Instead of simply declining your application, the lender can use this new score calculator to evaluate your last five years of checking and savings account history and determine if you qualify.

Read more: 10 tips to improve your credit score in 2025

TransUnion says it uses both positive and negative data from your banking history, but the credit bureau declined to specify which data is weighed into their new score.

To get a sense of what might be included, consider other reports and scores that are based on your banking information, such as those from ChexSystems and Early Warning Services (EWS). These companies compile your negative banking information, including instances where you abused an account or committed fraud. Here’s some of the information they consider:

• Account applications: Number and frequency.

• Account closures: Involuntary account closures and the reasons for the closures.

• Unpaid bills: Overdrafts and bank fees you haven’t paid.

• Check-writing history: Returned checks, bounced checks, and check fraud.

If you want to learn more about your banking history, you can pull your ChexSystems report and/or EWS report (both are free to pull once a year) and give them a review.

Read more: Does closing a bank account hurt your credit score?

The details around how TruVision Alternative Bank Risk Scores are calculated are still fuzzy, so we can only make an educated guess about how to improve them. Like with credit cards and loans, healthy account management habits are likely the key.

Here are a few healthy habits to practice when it comes to banking:

• Limit your applications for new bank accounts.

• Avoid overdrafts and unpaid bank fees.

• Pay off any negative balances or bank fees ASAP.

• Only write checks when you have the money to back them.

• If you’re not qualified to open your own bank account, ask a loved one with good banking history to add you to their account as a joint owner.

• Never open a joint bank account with someone who has a history of banking problems.

Read more: 7 ways to build credit — without a credit card

In order to get a credit score from FICO, you need to either have a credit card or loan open for at least six months, or you need to have one or more accounts that have been reported to the credit bureaus in the last six months.

If you want to open your first credit card or loan but don’t qualify, consider asking a loved one with good credit to add you as an authorized user on one of their credit cards. If that’s not an option, try applying for a secured credit card.

If you’ve been turned down for a new checking account, look for a bank or credit union that offers “second chance” accounts, which are meant for people with past banking issues. If you still don’t qualify, consider using a bank-issued prepaid card for some of your banking needs.

Read more: Here’s what to do if your bank account application was denied

TransUnion hasn’t released a list of lenders who use their TruVision Alternative Bank Risk Score. To find out if your lender uses it, give them a call.