Consumer credit scores hit 12-month high as delinquencies ease
“Although pockets of stress persist in certain segments, our June analysis indicates that most consumers are managing their credit responsibly and maintaining good credit health,” said Atif Mirza, executive vice president and chief digital and insights officer at VantageScore.
“Between the positive employment picture and healthy household balance sheets, consumers are looking strong heading into the second half of 2026.”
Serious delinquencies remained stable year-over-year and below pre-pandemic levels, a signal that a resilient labor market is still doing much of the work in keeping borrowers current on their financial obligations.
What the numbers mean for mortgage brokers
The improvement in consumer credit quality lands as VantageScore 4.0 plays an expanding role in origination. As brokers navigate the question of whether VantageScore mortgages are saving borrowers money — and what risk questions remain, a rising average score broadens the eligible borrower pool, particularly for clients with thin credit files or non-traditional payment histories.
Josh Lewis, a certified mortgage consultant at BuyWise Mortgage with more than 25 years of industry experience, previously told Mortgage Professional America that the VantageScore 4.0 model holds particular promise in those situations.
