TransUnion's 2026 Mortgage Pricing Goes Live – Prioritizing Lower Costs for Homebuyers

Core Insights - TransUnion has launched a revised mortgage pricing model featuring VantageScore® 4.0, aimed at enhancing the mortgage market's safety and cost-effectiveness [1][3] - The new model offers a significant pricing advantage, with VantageScore 4.0 available for $4 per score in 2026, representing a 60% discount compared to FICO scores [1][3] - The introduction of VantageScore 4.0 is expected to lower costs for lenders and consumers while maintaining underwriting costs at 2025 levels [1][3] Company Overview - TransUnion is a global information and insights company with over 13,000 employees operating in more than 30 countries, focusing on providing reliable consumer representations in the marketplace [7] - The company aims to empower consumers and businesses through innovative solutions that extend beyond core credit services into marketing, fraud, risk, and advanced analytics [7] Industry Context - The mortgage industry has historically been constrained by FICO's monopoly, which has led to increased lending costs due to significant royalty hikes from FICO [3] - TransUnion's approach of bundling credit data with VantageScore 4.0 is designed to reduce costs and provide lenders with a more manageable pricing structure [3][5] - The new model is expected to enhance access to loans for qualified homebuyers while ensuring the safety and soundness of the U.S. mortgage market [5]