Lloyds banking app and the credit score it shows

stewartwilliams

Installed the Lloyds Bank banking app a little while ago and there's an option in there to look at your Transunion? credit score.
If these scores are pretty much meaningless to anyone other than yourself, why would the bank have this?  Do they get a bit of cash for everyone who signs up, or just a way to try and get people to apply for their products (are they not allowed to just say whether you would be able to get something using their own internal scoring system?)?

MorningcoffeeIV

stewartwilliams said:

If these scores are pretty much meaningless to anyone other than yourself, why would the bank have this? 

It's 'added value' for people who believe in credit scores. 

Same reason newspapers publish horoscopes.

th081

MorningcoffeeIV said:

stewartwilliams said:

If these scores are pretty much meaningless to anyone other than yourself, why would the bank have this? 

It's 'added value' for people who believe in credit scores. 

Same reason newspapers publish horoscopes.

While the score is not reflective of a lenders risk model becuase they are all different it will broadly correlate. I.e if a CRA has a high score for a person they will likely also score high for a lender but not meet the risk profile (possibly)

MorningcoffeeIV

th081 said:

MorningcoffeeIV said:

stewartwilliams said:

If these scores are pretty much meaningless to anyone other than yourself, why would the bank have this? 

It's 'added value' for people who believe in credit scores. 

Same reason newspapers publish horoscopes.

While the score is not reflective of a lenders risk model becuase they are all different it will broadly correlate. 

It really won't. 

There are too many flaws in the algorithm for that to be true.

True risk models reflect risk, not change.

Chrysalis

Marketing, and potential referral payments if people sign up.  Barclaycard used to show a rating as well which I think was from equifax.

FindMyWayBack

Mine has it too, it's way different from my Equifax one, and of course it's just a bit of fun as what matters is the actual history, and then the potential lenders own scoring. I think your bank can soft check you now and then anyway... my bank now and then says: from what we know about you we could do this and that etc.

TimSynths

Its another "tool" you now have. Use it, don't use it, its costing you nothing. For many it will be a simple way to look and review their credit history without having to google and use third party sites like this one. I agree the the "score" could be a red herring but for many it will be an indicator of how their history is perceived overall.