​​Modernizing Credit Scoring for the BNPL Era​

According to a December 2025 Consumer Financial Protection Bureau (CFPB) study, 53.6 million consumers—roughly one in five U.S. adults—used a BNPL loan in 2023, a 12% increase from 2022. Because the CFPB’s data is reported at the lender level and does not track borrowers across providers, this figure may overstate the number of unique users. Even with this caveat, one thing is clear: BNPL usage has scaled rapidly, yet has remained largely invisible to traditional credit scoring models. With major BNPL providers now beginning to furnish data to the credit bureaus, the credit ecosystem is primed for a score that can incorporate these accountsresponsibly and consistently.

In anticipation of this, FICO has created its novel FICO Score 10 BNPL and FICO Score 10T BNPL models. These models will be made available at the credit bureaus concurrently with BNPL data being made available by the credit bureaus at scale in the credit report. This is a critical step in helping the credit ecosystem evolve responsibly and transparently.

BNPL Borrowing Accelerates as Originations Jump Double Digits

The days of BNPL being a fringe alternative credit product are well in the past. The previously mentioned December 2025 CFPB report showed BNPL users took an average of 6.3 BNPL loans per lender in 2023, an 11 percent increase from an average of 5.7 BNPL loans in 2022, with the total dollar originations growing from $35.8 billion to $45.2 billion. At the same time, the credit ecosystem didn’t yet have the infrastructure to keep pace. Until recently, the vast majority of BNPL providers did not report to credit bureaus.  

This led to what regulators have called a “credit blind spot,” sometimes referred to as “phantom debt.” According to the CFPB analysis,about 63% of BNPL borrowers had multiple BNPL loans outstanding at the same time, and roughly one-third borrowed from more than one provider. For lenders evaluating risk or ability to pay, these overlapping obligations have historically been difficult to see—and will remain so until BNPL data is furnished more consistently into the credit landscape.

The Turning Point: Credit Bureaus and Reporting Standards

By 2022, major credit bureaus began addressing the gap. Bureaus announced plans to develop methodologies to ingest BNPL data characterized by short-term, installment-style borrowing.

Still, adoption of BNPL data furnishing has remained gradual. While some major BNPL providers began furnishing data, others expressed caution as the industry worked to ensure that short-term installment products would be interpreted appropriately within traditional credit reporting frameworks. Overall, the varied pace of adoption has impeded the broader availability of BNPL data to lenders and credit score providers.

Moving BNPL Scoring Forward: FICO® Score 10 BNPL and FICO® Score 10T BNPL

FICO invested heavily in R&D to integrate BNPL data into credit scoring in a way that is equitable, data-driven, and robust. The result is two new BNPL-enabled credit scores — FICO Score 10 BNPL and FICO Score 10T BNPL. As mentioned above, these models will be available to test and implement at the credit bureaus when BNPL data is furnished to the credit bureaus at scale.

These are new, purpose-built score versions to incorporate BNPL insights—not retrofitting existing FICO® Score models.  FICO’s approach includes algorithmic logic to aggregate multiple concurrent BNPL loans together in certain score variable calculations—preventing a flurry of small loans from appearing riskier than they are. In validation studies with Affirm data on over 500,000 consumers, this approach preserved predictive power while reducing negative score impact.

Why This Score Matters: Benefits for Lenders and Consumers

1. It’s Good for Consumers and Lenders 
   Once BNPL data is made broadly available to lenders and credit score providers, with FICO® Score 10 BNPL and FICO® Score 10T BNPL in place, responsible BNPL users can potentially build credit with their on-time payments. This is the first time BNPL repayment behavior has been reflected appropriately in a national credit score. For lenders, this creates new opportunities to identify emerging creditworthy segments.

2. It Translates BNPL Data into Decision-Ready Insight 
   Unlike raw BNPL attributes that lenders would need to study and model themselves, FICO converts furnished BNPL accounts into a score that fits directly into the familiar FICO® Score — maintaining odds-to-score alignment and supporting consistent, explainable credit decisions. Lenders can also choose when and how to activate the BNPL component, enabling gradual adoption while ensuring the insight is fully usable the moment they opt in.

3. It Helps Accelerate Furnishing of BNPL Data at Scale 
   BNPL usage is often fragmented across providers. Without centralized reporting, borrowers could obtain multiple BNPL loans and overextend, which would be invisible to lenders. With furnishing of BNPL data at scale, FICO® Score 10 BNPL and FICO® Score 10T BNPL would detect this signal, helping lenders make more informed decisions.

4. Minimal Score Volatility 
   FICO’s BNPL study shows the aggregate impact of the simulated inclusion of BNPL data on credit scores is modest—85% of BNPL customers experienced score changes of fewer than 10 points, and 97% of highly active BNPL users (5+ accounts) experienced score changes of fewer than 20 points. Positive signals outweigh negative ones for borrowers who repay on time. This stability helps ease industry concerns around score volatility.

A Complex, Evolving Ecosystem

What Comes Next

We’re committed to setting the industry standard for responsible, future-ready scoring—powered by BNPL data that’s finally visible at scale.

Our novel FICO® Score 10 BNPL and FICO® Score 10T BNPL models will be available at the credit bureaus concurrently with BNPL data being made available by the credit bureaus at scale on the credit report. As this modern credit data becomes available to the credit bureaus, lenders can begin incorporating it into their analytics and underwriting workflows. Broader usage will grow over time as more BNPL data is furnished and more institutions begin leveraging the FICO Score 10 BNPL and FICO Score 10T BNPL credit scores.

We’ll continue sharing insights as adoption grows. This isn’t simply the addition of two new credit scores being added to the market—it’s a step toward a more transparent, efficient, and inclusive credit ecosystem.