Credit usage, payment behavior, and the accuracy of consumer credit files

Authors

  • L. Douglas Smith Center for Business and Industrial Studies, University of Missouri-St. Louis
  • Michael Staten College of Agriculture and Life Sciences, University of Arizona
  • Thomas Eyssell Department of Finance, University of Missouri-St. Louis
  • Maureen Karig Department of Supply Chain and Analytics, University of Missouri-St. Louis
  • Jeffrey Feinstein Department of Global Analytic Strategy, LexisNexis Risk Solutions
  • Cathleen Johnson Department of Philosophy, University of Arizona

DOI:

https://doi.org/10.61190/fsr.v27i1.3378

Keywords:

Individual financial management, Household behavior, Credit scores, Credit

Abstract

Through intensive interviews, examination of credit reports, and rescoring of corrected credit files, the researchers consider household characteristics, major life events, financial resources, and payment habits as they study the integrity of credit-bureau data, vulnerability to error, and results of disputes filed with the major credit bureaus. Credit usage and management are found to vary widely within demographic groups. Vulnerability to error and outcomes of disputes depend primarily on the credit record itself. Consumers with moderate credit scores are more likely than those with very high or low scores to see significant improvement in their records when errors are corrected.

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Published

2018-03-30

How to Cite

Smith, L. D., Staten, M., Eyssell, T., Karig, M., Feinstein, J., & Johnson, C. (2018). Credit usage, payment behavior, and the accuracy of consumer credit files. Financial Services Review, 27(1), 1–28. https://doi.org/10.61190/fsr.v27i1.3378

Issue

Vol. 27 No. 1 (2018): Spring 2018

Section

New Original Submission

License

Copyright (c) 2018 Academy of Financial Services

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