A new TransUnion study found that the consumer loan wallet – the composition of loans that people typically carry – has materially changed for both the youngest and oldest segments of the population during the last decade.
"Our study can be used by lenders in several ways. For lenders looking to target younger consumers, TransUnion can help them use advanced scoring tools built on enhanced credit data to better assess and manage risk for borrowers in lower risk score tiers. For lenders looking to grow their loan portfolios, TransUnion can help them optimize their campaigns to successfully identify and reach these higher-demand consumer segments – both within and outside their current customer base."
- Charlie Wise, co-author of the study and vice president in TransUnion’s Innovative Solutions Group.
For the purposes of this study, all yearly data points reflect data as of March 31 of each year. The consumer loan wallet is defined by breaking down the average total borrowing of consumers in different age tiers by the average percentage of that total balance in each loan type, including mortgage, auto, card, HELOC, student loan, and all other loan types.