Article Courtesy of GreenPath Financial Wellness

If you’ve been hearing that credit scores are changing, you’re not imagining it. 2026 is shaping up to be a transition year for how lenders evaluate borrowers, especially for mortgages. Fortunately, most of the habits that help your credit stay healthy are not changing.

The Big Shift: New Scoring Models

Mortgage lenders can now use newer models, like VantageScore 4.0, which consider additional information – such as rent, utilities, or telecom payments.

This can help more people, especially those with limited or “thin” credit histories, have a score on record. It does not guarantee loan approval. However, it gives lenders a fuller picture when evaluating applications, and it highlights how credit scoring is evolving to include a wider range of financial behaviors.

Lenders are also adopting FICO 10, which looks beyond a single snapshot to your credit patterns over the past two years. This means consistent habits matter more than short-term fixes.

Other Changes to Watch in 2026

Credit scoring isn’t just getting a facelift – it is evolving in ways that could impact how you borrow and manage debt. Here’s what else is on the horizon:

Buy Now, Pay Later (BNPL) Reporting
BNPL plans where you can postpone payment of purchases until a future date or divide it into a series of installment payments will start showing up on credit reports. This can help build credit if you pay on time, but missed payments could hurt your score.

What’s Staying the Same

The fundamentals of credit health are not changing. No matter which scoring model a lender uses:

• On-time payments still matter most.
• Lower balances relative to your limits (a.k.a. credit utilization) remain important.
• Length of credit history still plays a role, so older accounts often help.
• New credit and how often you apply still factors into your score.
• A credit mix that reflects a variety of credit types (like credit cards, installment loans, or a mortgage) can positively impact your score.

For broader guidance, including budgeting, debt management, or big financial goals Bellco members have access to GreenPath.  We offer free financial counseling with NFCC- and HUD-certified experts to help you review your finances and support you in taking the next step forward.