Tech Souls, Connected.

+1 202 555 0180

Have a question, comment, or concern? Our dedicated team of experts is ready to hear and assist you. Reach us through our social media, phone, or live chat.

Experian Boost Review: Who Should Use It?

Having a great credit score can have a major impact on your quality of life, but building a strong credit score can take years. Experian®, one of the three credit reporting bureaus, wants to make it easier. Experian Boost™ is a free feature that allows consumers to add additional data to their credit file with the goal of improving their FICO® 8 Score.

This review details how the feature works and what consumers can expect while “boosting” their credit scores. As you read the review keep in mind that results may vary. Some may not see improved credit scores or approval odds, and not all lenders use Experian credit files or credit scores impacted by Experian Boost™.

What Is Experian Boost™

On-time payment history is the most important factor in your credit score accounting for 35% of your total credit score, followed by credit utilization which makes up 30% of your credit score. This product allows consumers to add additional on-time payments to their Experian credit report by linking their bank account. Additional on-time payment history can help increase your credit score.

Using Experian Boost to boost your credit scores isn’t complicated. The first thing you’ll need to do is connect the account that you use to pay your qualifying utility, cell phone and video streaming service payments. After connecting the bank account, users can choose which positive payment histories from these services to add to their Experian credit report.  If applicable, you may see the results of Experian Boost instantly.

Those most likely to benefit have “thin” credit histories, meaning they don’t have many credit accounts to report on-time payments to their credit report. According to Experian’s website, average users who received a boost improved their FICO Score based on Experian Data by 13 points. Remember that results may vary, and are dependent on factors like your existing credit profile.

How Experian Boost™ Works

Experian Boost is free to use and there are no existing membership requirements to sign up. To receive a “boost,” individuals create a free Experian account and navigate to the product’s page.

From there, users will be prompted to connect the bank account they use to pay their bills. For those wary of granting third-party access to their account, Experian explains that its product can access only read-only data from a bank, and doesn’t have access to any of the funds. Once an account is connected, the feature scans transactions for on-time utility, cell phone and streaming video plans, including Netflix, HBO, Disney+ and Hulu payments. Experian needs at least three months of payments within a six-month window.

Experian Boost shows users which bills are pulled and when they were paid. The feature only pulls positive payment history, which means it won’t report any negative information that could lower your credit score. Users also have the option to exclude any payments they don’t want to be added to their file.

Downsides of Experian Boost™

Though Experian Boost is a great feature for consumers who might not have a strong credit file, it isn’t perfect. Here are a few downsides of the feature:

  • If you’re a long-time avid credit card user who charges everything for the rewards points and pays your bill on time and in full, Experian Boost may not be very beneficial. Your credit history already includes the payment history from your credit card payments (which are reported by the card issuer). Adding a few more on-time payments is unlikely to have a large impact on your credit scores. Experian Boost is most beneficial for users who do not have a very robust credit file.
  • Lenders might be using a version of a FICO Score or a different credit scoring model that doesn’t work with Experian Boost. There’s no guarantee that using Experian Boost will increase your odds of approval for a specific credit product from a specific lender.
  • Experian Boost looks at cell phone, utility and service payments. It would be more helpful if it could include rent payments as well. It is possible to get rent payments added to your credit report, though—here’s how.
  • As Experian itself points out, adding utility payments to its records won’t affect what’s in your files with the two other major credit bureaus–Equifax and TransUnion. So depending on which bureau a prospective lender or credit card issuer uses, Experian Boost may not help you get approved.

Who Experian Boost™ May Be Best Suited For

Experian Boost may be best for an individual who has been making on-time cell phone, utility and/or service payments for some time but has never (or only recently) opened a credit card or another type of loan account.

Experian Boost doesn’t work for everyone, though. The free feature is best suited for individuals who pay their telecom, utility or service bills through an eligible account. If the feature doesn’t work for you, you can try other methods to boost your credit scores.

Nevertheless, with how fast it is to set up an account with Experian and start the process, it might provide an easy way to raise your credit score by a few points.

Bottom Line

Experian Boost is a well-intentioned feature.  If you’re someone who has a thin credit history who pays their phone or utility bill with a bank account, Experian Boost might be a good option to build up your FICO Score.

However, with the average credit score increase of 13 points. Results may vary. See Experian’s website for more details.

Share this article
Shareable URL
Prev Post

5 Reasons Why AAA Travel Insurance is a Must-Have for Your Next Trip

Next Post

Will Experian Boost Strengthen Your Credit?

Read next
Whatsapp Join