Can Facebook Improve Your Credit Score?

Everyone wants a better rate on their home mortgage and car loan -- but how do you improve a credit score to get it?

In the first week of April, Fair Isaac Corporation (NYSE: FICO  ) made an acquisition that gives us a hint. Taking Infoglide Software in-house, FICO instantly gained access to technology that monitors social networking sites and mines them for data about credit habits and other personal information.

Fair Isaac says it will use Infoglide's software primarily to root out fraud and money laundering for its banking clients -- but do you really think they'll stop there? Chances are, FICO will soon be incorporating social networking data into how it calculates credit scores in short order. And this means that if you want to improve your credit score, it's essential to monitor your Facebook (NASDAQ: FB  ) page, Twitter feed, and other social networking sites to ensure the information you put up there doesn't contradict what you're saying on your loan application.

Fool contributor Rich Smith further explains. 

The amount of data we store every year is growing by a mind-boggling 60% annually! To make sense of this trend and pick out a winner, The Motley Fool has compiled a new report called "The Only Stock You Need to Profit From the NEW Technology Revolution." The report highlights a company that has gained 300% since first recommended by Fool analysts but still has plenty of room left to run. To get instant access to the name of this company transforming the IT industry, click here -- it's free.


Read/Post Comments (3) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On April 08, 2013, at 3:59 PM, RichieUKx wrote:

    Its very difficult to improve your credit score on purpose in the social media. You should know how you are being scored and optimize based on that i.e. number of friends.

    Its really a no-brainer not to give different information in two different data sources, but this can hardly be seen as improving your credit score. This is More of an anti-fraud look at things.

    Few companies are doing social media credit scores of which I have found Big Data Scoring to be quite interesting. They have some cases up on their website which seem very interesting and quite advanced. Zestfinance is another company to keep an eye on.

  • Report this Comment On April 08, 2013, at 4:00 PM, RichieUKx wrote:
  • Report this Comment On April 08, 2013, at 5:13 PM, TMFDitty wrote:

    It probably depends on what you mean by "improve."

    On the theory of "first, do no harm," I'd say that by ensuring you don't "give different information in two different data sources," you're at least avoiding hurting your score. If you've goofed and mistakenly permitted conflicting information to appear in difference data sources, in the past, though, then you should indeed be able to improve your score by repairing the disconnect.

    TMFDitty

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2347951, ~/Articles/ArticleHandler.aspx, 10/26/2014 4:53:10 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement