There’s been a quiet-but-huge shift in how mortgage lenders determine if you're “creditworthy.” Very soon, lenders may use VantageScore 4.0 for loans backed by Fannie Mae and Freddie Mac—the two giants behind most conventional home loans in the U.S.

So what? Here's the so-what:

VantageScore 4.0 sees things FICO never bothered to look at. Stuff like your rent payments, utility bills, and even your phone bill can now count for you—not just against you.

That’s a massive change for folks who’ve been told they “don’t have enough credit history.” With this move, millions more people could qualify for home loans—without needing credit cards or auto loans to prove themselves.

Let’s break it down.

🤔 Wait, What’s VantageScore Again?

It’s a competing credit score model built by the three major credit bureaus—Experian, Equifax, and TransUnion. For years, mortgage lenders were stuck using older versions of FICO because that’s what Fannie and Freddie required.

But VantageScore 4.0 was built for the real world. It’s newer, smarter, and more inclusive. It:

• Recognizes on-time rent, utility, and phone payments.
  
• Requires less credit history (just one month of data vs FICO’s 6 months).
  
• Doesn’t penalize you as harshly for things like one-time medical collections.
  

Now that Fannie and Freddie finally gave it the green light, we’re in for a more common-sense approach to mortgage approvals.

🧾 How to Get Your Rent, Utilities & More on Your Credit

This next part is important: These payments don’t automatically show up on your credit report—you have to make it happen. But it’s easier than you’d think.

• Services like RentReporters, Esusu, or LevelCredit will report your on-time rent to the credit bureaus.
  
• Some landlords partner with these companies—others don’t. Ask yours.
  
• You might pay a small fee, but the credit boost can be worth it.
  

• Use Experian Boost (totally free).
  
• It links to your bank account, finds your bill payments, and adds them to your Experian credit file.
  
• Can include electric, water, gas, internet, cell phone—even Netflix.
  

• Look into credit builder loans or secured credit cards.
  
• Tools like Grow Credit let you report subscription payments like Hulu or Spotify.

🏡 Why It Matters If You’re Buying a Home

If you’ve been told “you don’t have enough credit” or were stuck with a low score based on outdated models, this new VantageScore rollout could give you a second shot—especially if:

• You’ve paid rent on time for years.
  
• You’ve avoided credit cards by choice.
  
• You’re working on rebuilding after life threw you a curveball.
  

At Williams Mortgage, we’re watching this rollout closely. Not every lender will switch overnight, but it’s happening—and that means new doors opening for people who’ve earned the right to walk through them.

💬 Bottom Line

Credit scoring just got a lot more fair. If you’re paying your bills on time—even if they’re not “traditional” credit accounts—you deserve a shot at homeownership. And now, with VantageScore 4.0, you’ve got one.

Want help figuring out where you stand or how to boost your credit profile the smart way?

Let’s talk. We’ll walk you through the steps and build a plan.