IDIQ Debuts CreditBuilderIQ as Consumers Feel Pinched

Financial intelligence company IDIQ has launched a platform that aims to help consumers build their credit scores.

CreditBuilderIQ, announced Tuesday (April 16), joins the company’s suite of identity theft protection, credit monitoring and financial wellness tools. 

“With consumer debt at an all-time high, rising delinquencies, and reduced credit availability, consumers more than ever need to take control of their credit and financial health,” IDIQ said in a news release.

“Whether it’s securing a dream home, saving thousands of dollars in interest, accessing competitive rentals without unnecessary security deposits, getting a credit card with the most favorable terms, or enjoying other financial opportunities, a good credit profile is critical,” the company added. 

To help maintain those profiles, CreditBuilderIQ offers tools and resources such as artificial intelligence (AI)-driven credit analysis and personalized score factors that outline items that affect users’ credit, along with strategies to help improve their credit profile. 

The platform also includes credit reports and scores from all three major credit bureaus, and gives users the ability to use utility payment reporting as a tool to build credit. 

The launch of CreditBuilderIQ comes as a growing number of Americans are behind on their credit card payments.

The Federal Reserve Bank of Philadelphia said last week the share of accounts that were 30-plus days and 60-plus days past due in the fourth quarter of 2023 came to the highest level since the bank began reporting this data in 2012. 

“Stress among cardholders was further underscored in payment behavior, as the share of accounts making minimum payments rose 34 basis points to a series high from last quarter’s reading,” Philadelphia Fed said in its report.

“The fourth-quarter Fed data dovetails with PYMNTS Intelligence data, which showed that 80% of paycheck-to-paycheck consumers — at about 60% of the general population — hold a credit card, and hold two cards on average,” PYMNTS wrote last week. “Forty-three percent of consumers at least occasionally revolve their credit card balances while 65% of struggling consumers do so, representing a rise from 59% seen at the end of 2022.”

The research also showed that more than a third of consumers used credit products to manage their finances, while 21% of them turned to credit products as their main strategy.

PYMNTS Intelligence research also shows that that 27% of consumers turn to credit cards when they are faced with unexpected expenses of $5,000 or more, while 21% do the same to cover emergency expenses of under $1,000.