LendingTree Study Finds More than Half of My LendingTree Users Improved Credit Scores in Majority of 50 Metros Analyzed

May 21, 2018 at 11:30 AM EDT
LendingTree's latest study looks at where credit scores are rising in the 50 largest metros in the U.S.

CHARLOTTE, N.C., May 21, 2018 /PRNewswire/ -- LendingTree®, the nation's leading online loan marketplace, today released its study on the top places with rising credit scores. With credit scores being a crucial component of personal financial stability and opportunity, LendingTree analysts decided to look at anonymized My LendingTree users who logged into their accounts in both the first quarter of 2017 and the first quarter of 2018 to determine the top metros for rising credit scores among the 50 largest in the United States. 

LendingTree Logo. (PRNewsFoto/LendingTree)

My LendingTree users can log in any time to see an overview of their credit profiles and scores and receive real-time alerts of any meaningful changes to their reports, such as hard credit inquiries.

Below are some of the key takeaways from the study.

  • Jacksonville, Indianapolis, Denver and Tampa saw the highest rate of rising credit scores among the 50 biggest metros from Q1 2017 to Q1 2018.
  • Virginia Beach, Va., Los Angeles and Birmingham, Ala., had the lowest rate of rising credit scores, with 47 percent of Virginia Beach users raised their credit scores.
  • San Jose (Silicon Valley) saw the most dramatic rises in credit scores, with the highest rates of people who raised their score by more than 75 points and 100 points.
  • In the majority of the 50 metros analyzed, more than 50 percent of users improved their credit scores between Q1 2017 and Q1 2018.
  • About one in three increased their scores by over 20 points, and 3.5 percent were able to improve their scores by 100 points or more.

 

The Top 11 Places for Rising Credit Scores

Between Q1 2017 and Q1 2018



Ranked by Percentage of My LendingTree Users Who Improved Their Scores

Rank

Metro

By Any

Amount

By at Least

25 Points

By at Least

50 Points

By at Least

75 Points

By at Least

100 Points

1

Jacksonville, Fla.

53.8%

33.0%

18.1%

8.8%

3.7%

2

Indianapolis

53.7%

30.9%

17.1%

7.4%

3.0%

3

Denver

52.9%

33.0%

17.6%

9.1%

4.4%

3

Tampa, Fla.

52.9%

32.2%

16.7%

7.7%

3.5%

5

Portland, Ore.

52.8%

32.1%

17.1%

8.1%

3.0%

6

Detroit

52.6%

31.4%

17.0%

8.2%

3.1%

7

Seattle

52.4%

30.7%

16.3%

7.7%

3.6%

8

Pittsburgh

52.1%

31.4%

17.7%

8.5%

4.0%

9

Buffalo, N.Y.

52.0%

30.1%

15.6%

7.9%

3.6%

9

Charlotte, N.C.

52.0%

30.7%

16.6%

8.3%

3.6%

9

Louisville, Ky.

52.0%

31.3%

17.1%

8.6%

3.9%








 

The 10 Bottom Places for Rising Credit Scores

Between Q1 2017 and Q1 2018



Ranked by Percentage of My LendingTree Users Who Improved Their Scores

Rank

Metro

By Any

Amount

By at Least

 25 Points

By at Least

50 Points

By at Least

75 Points

By at Least

100 Points

50

Virginia Beach, Va.

47.0%

26.6%

15.0%

7.0%

3.4%

49

Los Angeles

47.5%

27.8%

15.3%

7.2%

3.4%

48

Birmingham, Ala.

47.6%

26.1%

13.0%

7.2%

2.9%

46

St. Louis

48.4%

29.0%

15.1%

7.3%

2.9%

46

Las Vegas

48.4%

28.4%

14.3%

7.2%

2.8%

44

San Francisco

48.6%

27.4%

15.5%

8.0%

3.4%

44

San Diego

48.6%

28.2%

15.3%

7.5%

3.2%

42

San Antonio

48.7%

28.9%

14.6%

7.1%

2.7%

42

Riverside, Calif.

48.7%

28.0%

14.1%

6.7%

3.0%

41

New York

48.9%

29.8%

16.3%

8.1%

3.7%








 

Impact of Credit Scores

Increasing credit scores could reduce the cost of borrowing. See how a 50- or 100- point improvement in credit scores has a positive impact on the rate offers reviewed.


Mortgage

APR

Personal Loan APR

Baseline

5.4%

24.3%

50-point score increase

5.1%

17.0%

100-point score increase

4.8%

10.4%

 

Homebuyers who start with scores of 640 – 679 and improve them by 100 points before buying a home could save over $28,000 over the life of a 30-year mortgage by qualifying for a 4.8 percent rather than 5.4 percent APR, assuming an average loan amount of $234,437.

The APRs above are reported in LendingTree's monthly mortgage and personal loan offers reports, which show the average of the best offers made to LendingTree users each month within credit score bands. Score bands used for the rates are: Baseline (640-679), 50-point increase (680-719), 100-point increase (720-759).

"Some consumers want to know their credit profiles and scores out of curiosity, but My LendingTree does more than that; it aids them in achieving their financial goals. My LendingTree recommends the next steps a consumer should take to make improvements to their credit health and financial well-being," said Justin White, Vice President of Product Marketing at LendingTree.

White continued, "At LendingTree, we recognize that the credit system can be complicated. Our credit management tools offer actionable insights and real recommendations based on what we've learned from millions of consumers working toward accomplishing similar goals. Our tools help simplify a confusing process that requires education and discipline. We're thrilled to see that consumers are improving their credit."

 

Where People Increased their Credit Scores in the Last Year

Ranked by percentage of My LendingTree users who increased their credit score between Q1 2017 and Q1 2018




Rank

Metro

By Any

Amount

By at

Least

25

Points

By at

Least

50

Points

By at

 Least

 75

 Points

By at

 Least

 100

 Points

1

Jacksonville, Fla.

53.8%

33.0%

18.1%

8.8%

3.7%

2

Indianapolis

53.7%

30.9%

17.1%

7.4%

3.0%

3

Denver

52.9%

33.0%

17.6%

9.1%

4.4%

3

Tampa, Fla.

52.9%

32.2%

16.7%

7.7%

3.5%

5

Portland, Ore.

52.8%

32.1%

17.1%

8.1%

3.0%

6

Detroit

52.6%

31.4%

17.0%

8.2%

3.1%

7

Seattle

52.4%

30.7%

16.3%

7.7%

3.6%

8

Pittsburgh

52.1%

31.4%

17.7%

8.5%

4.0%

9

Buffalo, N.Y.

52.0%

30.1%

15.6%

7.9%

3.6%

9

Charlotte, N.C.

52.0%

30.7%

16.6%

8.3%

3.6%

9

Louisville, Ky.

52.0%

31.3%

17.1%

8.6%

3.9%

12

Nashville, Tenn.

51.9%

31.1%

16.7%

8.4%

2.9%

13

Cleveland

51.6%

29.2%

15.1%

7.6%

2.8%

14

Atlanta

51.5%

30.7%

17.1%

8.4%

3.7%

15

Houston

51.4%

31.2%

16.9%

8.4%

3.9%

15

Miami

51.4%

31.6%

17.8%

9.0%

4.0%

15

Milwaukee

51.4%

29.3%

16.3%

7.2%

3.4%

18

Philadelphia

51.2%

30.1%

16.1%

7.8%

3.4%

18

Salt Lake City

51.2%

30.5%

16.0%

8.8%

3.7%

20

Baltimore

51.1%

30.8%

16.4%

8.4%

3.7%

21

Cincinnati

51.0%

30.8%

16.4%

8.4%

4.0%

22

Chicago

50.9%

29.7%

16.3%

7.9%

3.5%

22

Phoenix

50.9%

30.2%

16.7%

8.2%

4.0%

24

Columbus, Ohio

50.7%

29.4%

15.7%

7.1%

2.5%

24

San Jose, Calif.

50.7%

30.6%

18.2%

9.5%

4.5%

26

New Orleans

50.6%

31.1%

16.5%

8.7%

4.1%

26

Sacramento, Calif.

50.6%

28.9%

15.7%

6.9%

2.9%

28

Minneapolis

50.5%

29.2%

16.2%

7.4%

3.4%

29

Boston

50.4%

30.3%

15.8%

8.0%

3.7%

30

Kansas City, Mo.

50.3%

28.8%

14.0%

7.1%

3.3%

31

Austin, Texas

50.2%

28.8%

16.4%

7.9%

3.3%

31

Memphis, Tenn.

50.2%

32.5%

18.6%

8.5%

4.0%

31

Orlando, Fla.

50.2%

29.8%

16.9%

8.6%

4.3%

31

Richmond, Va.

50.2%

29.3%

14.8%

6.6%

3.6%

35

Oklahoma City

50.0%

31.3%

16.6%

8.5%

3.7%

35

Raleigh, N.C.

50.0%

29.8%

17.4%

9.3%

3.4%

37

Dallas

49.8%

29.7%

16.4%

8.0%

3.2%

38

Washington

49.7%

28.8%

15.5%

7.4%

3.7%

39

Providence, R.I.

49.5%

30.1%

15.5%

7.4%

3.1%

40

Hartford, Conn.

49.2%

29.4%

16.4%

8.4%

3.9%

41

New York

48.9%

29.8%

16.3%

8.1%

3.7%

42

Riverside, Calif.

48.7%

28.0%

14.1%

6.7%

3.0%

42

San Antonio

48.7%

28.9%

14.6%

7.1%

2.7%

44

San Diego

48.6%

28.2%

15.3%

7.5%

3.2%

44

San Francisco

48.6%

27.4%

15.5%

8.0%

3.4%

46

Las Vegas

48.4%

28.4%

14.3%

7.2%

2.8%

46

St. Louis

48.4%

29.0%

15.1%

7.3%

2.9%

48

Birmingham, Ala.

47.6%

26.1%

13.0%

7.2%

2.9%

49

Los Angeles

47.5%

27.8%

15.3%

7.2%

3.4%

50

Virginia Beach, Va.

47.0%

26.6%

15.0%

7.0%

3.4%

 

Methodology:
We looked a sample of users who logged into My LendingTree in both the first quarter of 2017 and the first quarter of 2018 and compared their credit scores at each point in time to calculate that user's change in credit score. These results were then aggregated to the 50 largest metropolitan statistical areas by population. My LendingTree has over 8 million users and scores are provided by TransUnion.

To view the full report, visit: https://www.lendingtree.com/credit-repair/top-places-rising-credit-scores/.

About LendingTree

LendingTree (NASDAQ: TREE) is the nation's leading online loan marketplace, empowering consumers as they comparison-shop across a full suite of loan and credit-based offerings.  LendingTree provides an online marketplace which connects consumers with multiple lenders that compete for their business, as well as an array of online tools and information to help consumers find the best loan. Since inception, LendingTree has facilitated more than 65 million loan requests. LendingTree provides free monthly credit scores through My LendingTree and access to its network of over 500 lenders offering home loans, personal loans, credit cards, student loans, business loans, home equity loans/lines of credit, auto loans and more. LendingTree, LLC is a subsidiary of LendingTree, Inc. For more information go to www.lendingtree.com, dial 800-555-TREE, like our Facebook page and/or follow us on Twitter @LendingTree.

MEDIA CONTACT:
Megan Greuling
704-943-8208
Megan.greuling@lendingtree.com

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SOURCE LendingTree