What is Alternative Credit Data? Uses, Types & Dataset Examples

What is Alternative Credit Data?

Alternative credit can be described as a catch-all phrase to highlight the reports on credit not normally reported in mainstream credit datasets. An alternative credit refers to any form of credit that is not included in the traditionally recognised investment grade and is better protected from the wider credit market movements. This data is useful when a business wants to establish good quality accounts which they can use to reduce credit risk and improve, retain, and grow a profitable customer base.

Examples of Alternative Credit Data include rental payment history, utility payment history, and mobile phone payment history. Alternative Credit Data is used by lenders and financial institutions to assess the creditworthiness of individuals who have limited or no traditional credit history. In this page, you’ll find the best data sources for alternative credit data provided by various alternative credit data providers.