TransUnion announced a new pricing structure for its VantageScore 4.0 mortgage origination model, setting the fee at 99 cents per score. The move follows a 2025 announcement that VantageScore 4.0 would be sold for $4, a 75 percent discount from the $10 price that FICO had recently adopted. By slashing the price to less than one dollar, TransUnion is positioning its model as the most affordable option in the mortgage‑scoring market.
The company estimates that the lower price will generate more than $900 million in potential savings for lenders and consumers over the next year. The savings estimate reflects the volume of scores that lenders are expected to purchase at the new rate, combined with the fact that many lenders already use VantageScore 4.0 for other credit products. The reduction is intended to accelerate adoption and increase the share of mortgage originations that use TransUnion’s model.
TransUnion is also offering VantageScore 4.0 for free to customers who purchase a FICO score from the company. The free‑with‑purchase incentive is designed to lower the barrier for lenders to test the model and to encourage a shift away from the higher‑priced FICO score. The pricing change aligns with the Federal Housing Finance Agency’s (FHFA) goal of increasing score competition and making homebuying more affordable.
VantageScore 4.0 incorporates trended credit data, rental and utility payment information, and is the only bureau that offers 30 months of trended credit data. Studies have shown that the model is more predictive for mortgage underwriting than the classic FICO score, which gives TransUnion a technical advantage in a market that is increasingly valuing alternative data and longer credit histories.
The pricing strategy is a key component of TransUnion’s broader effort to capture market share in the mortgage‑scoring space. By offering the lowest price point and a free option for FICO customers, the company is likely to increase the volume of scores sold, offsetting the lower per‑score revenue. The move also signals TransUnion’s confidence in the scalability of its data platform and its commitment to supporting the FHFA’s competition agenda.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.