Methodology Overview
The Credential Score: LoanAmerica®'s Program-Aware Underwriting Model
Traditional student loan underwriting leans on credit scores, but a 20-year-old trade student rarely has much credit history. The Credential Score considers the program alongside the borrower.
Why Credit Scores Alone Fall Short
Many career-track students are early in their credit lives. When a credit score is the only lens, capable students at strong programs get declined, and the quality of the program itself never enters the decision.
That leaves two problems in the market: good students denied, and program quality ignored. The Credential Score is our answer to both.
What the Credential Score Considers
The Credential Score is a program-level view of how students actually fare after enrollment. It draws on completion and post-completion outcome signals, weighed in the context of the program type.
We keep the specific inputs, weightings, and thresholds proprietary. What matters for schools and students is the effect: programs that serve students well support broader access to financing.
How It Works in Practice
When a student applies, we evaluate the borrower as a whole and consider the program they are entering. A strong program profile can help support an application from a student with a limited credit file.
The result is a wider door for students at programs with a track record of delivering, and a more disciplined one where that record is weaker.
Frequently Asked Questions
Interested in the Credential Score?
Schools can talk with us about how their programs are viewed. Investors can learn more about our underwriting approach.