FICO Score 10 BNPL: What the BNPL Rollout Means for Your Credit

Introduction — Why FICO Is Adding BNPL to Credit Scores

FICO announced two new models—FICO Score 10 BNPL and FICO Score 10 T BNPL—that incorporate buy‑now‑pay‑later (BNPL) repayment data into FICO scoring. The firm says the change is intended to give lenders better visibility into consumers’ short‑term installment behavior and to expand credit access for people whose first credit experiences are BNPL plans.

The move follows a year‑long study FICO ran with a BNPL provider that tested how furnishing BNPL accounts affects credit scores; FICO developed a proprietary treatment to avoid overstating risk when many short BNPL loans appear in a short time. That research underpins the new models.

How the FICO Score 10 BNPL Models Work (Key Technical Points)

FICO’s new BNPL versions are not a single replacement score but additional variants in the Score 10 suite. They are designed to ingest BNPL tradelines when those accounts are furnished to credit bureaus and to treat BNPL differently from traditional revolving or long‑term installment loans. FICO says lenders will initially be able to run the BNPL versions side‑by‑side with existing FICO scores so they can evaluate impact before switching decisioning rules.

Two model features FICO highlights:

• Aggregation of short BNPL loans: Because BNPL usage often results in multiple small installment loans opened in a short span, FICO’s treatment aggregates separate BNPL loans when computing some internal variables so a borrower isn’t automatically penalized the way opening many traditional new accounts might be. This is a core part of how the company says it preserves predictive value without overstating consumer risk.
• Empirical testing with BNPL data: FICO’s study—covering a large sample of BNPL users—found most consumers would see only limited score movement and that, in many tested cases, scores were stable or rose slightly when BNPL repayment behavior was included under FICO’s treatment. That informed the model design.

FICO has stated the BNPL versions are expected to be available in lenders’ environments in the fall of 2025. Adoption by lenders, and the extent to which bureaus receive BNPL data, will determine how quickly the changes affect broad credit decisioning.

What This Means for Consumers, Borrowers and Lenders

Potential positive effects:

• Consumers who use BNPL responsibly and have thin or no traditional credit histories may see an improved or newly established credit footprint when BNPL payments are reported on time.
• Lenders gain a fuller view of small‑dollar installment behavior, which can help underwriting for younger borrowers or newcomers who rely on BNPL.

Potential downsides and caveats:

• Late or missed BNPL payments that are furnished to bureaus will now be visible and can harm credit scores—so BNPL becomes another account type where on‑time payments matter.
• Not all BNPL providers currently report data to credit bureaus; until reporting becomes routine, the new models will have limited reach. Industry observers also expect a gradual lender rollout as firms test and recalibrate decision rules.
• There is a behavioral risk: if consumers treat BNPL as free lending and overuse it, they may accumulate obligations that damage credit and finances alike. Regulators and consumer advocates have warned about these risks.

Net effect: for many responsible users the change is an opportunity; for consumers with spotty payment patterns the BNPL inclusion could hurt approvals and pricing once those accounts appear on files.

Practical steps to protect and benefit your credit

1. Only use BNPL for purchases you can afford on the installment schedule—treat the plan like a loan, not free money.
2. Set automatic payments or calendar reminders to avoid missed installments; a single missed BNPL payment reported to a bureau can have measurable effects.
3. Monitor which BNPL providers report to the credit bureaus and check your credit reports for newly reported BNPL tradelines.
4. If you see an incorrect BNPL entry, dispute it with the bureau and the merchant or BNPL provider—save receipts and confirmation emails as evidence.

Finally, keep in mind that even with FICO's BNPL‑aware models, lenders decide which score version they use in underwriting. That means scoring model rollout is only one piece of a larger adoption path that includes bureau reporting, lender testing, and policy updates.