Credit Scoring Market Report 2025

The credit scoring market size has grown rapidly in recent years. It will grow from $20.91 billion in 2024 to $23.32 billion in 2025 at a compound annual growth rate (CAGR) of 11.5%. The growth in the historic period can be attributed to increasing consumer borrowing, rise in digital banking, regulatory compliance needs, demand for faster loan approvals, rising identity fraud cases, availability of big data and globalization of financial services.

The credit scoring market size is expected to see rapid growth in the next few years. It will grow to $36.41 billion in 2029 at a compound annual growth rate (CAGR) of 11.8%. The growth in the forecast period can be attributed to increasing mobile banking usage, rising demand for personalized financial products, surge in buy now pay later services, focus on financial inclusion, regulatory push for transparent scoring models and increased use of open banking platforms. Major trends in the forecast period include use of artificial intelligence (AI) and machine learning algorithms, adoption of alternative data analytics, integration with blockchain technology, real-time credit scoring systems, cloud-based credit scoring platforms, use of natural language processing, biometric authentication integration and predictive analytics for risk assessment.

The forecast of 11.8% growth over the next five years reflects a slight reduction of 0.2% from the previous projection. This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US through reduced accuracy of risk assessments, as alternative data analytics platforms and machine learning algorithms, primarily developed in the United Kingdom and Sweden, become more expensive to integrate. The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The rise in online transactions is expected to propel the growth of the credit-scoring market in the coming years. Online transactions, which involve buying or selling goods and services over the internet, are increasing due to the expansion of e-commerce platforms that offer unmatched convenience, a wide range of products, competitive pricing, and seamless digital payments. These platforms allow users to shop and pay anytime, anywhere. Credit scoring plays a crucial role in online transactions by enabling quick and reliable assessments of consumer creditworthiness, making it easier for lenders and merchants to approve purchases. It helps reduce financial risk by verifying buyer credibility and enhancing trust and security in digital commerce. For example, in February 2025, MageComp, an India-based website development and digital marketing agency, reported that digital wallet usage surpassed 2 billion users in 2024, marking a 10% annual increase. As such, the rise in online transactions is fueling the growth of the credit-scoring market.

Leading companies in the credit scoring market are focusing on integrating innovative solutions such as business credit evaluation to enhance risk assessment accuracy, streamline lending processes, and expand credit access to underserved segments. Business credit evaluation assesses a company's creditworthiness based on its financial health, credit history, payment behavior, and other relevant factors. For example, in May 2023, Equifax Inc., a U.S.-based credit bureau company, launched OneScore, an innovative credit scoring model for commercial credit. This model enhances financial inclusion by providing a comprehensive view of a business's creditworthiness, enabling lenders to approve more loans without increasing risk. It benefits small businesses by expanding their access to credit, supporting economic growth, and facilitating more efficient credit decisions.

In April 2024, Fintech Galaxy Ltd., a UAE-based financial technology company, partnered with FinbotsAI to enhance credit risk assessment and lending decision-making across the Middle East and North Africa (MENA) region. This collaboration integrates FinbotsAI’s AI-powered credit scoring platform with Fintech Galaxy’s open banking infrastructure. FinbotsAI, a Singapore-based artificial intelligence company, specializes in AI-driven credit scoring and risk management solutions for the financial services sector.

Major players in the credit scoring market are Intuit, Experian plc, Equifax Inc., TransUnion LLC, Fair Isaac Corporation, CRIF Realtime Ltd, Creditsafe Group, CTOS Digital Berhad, Kreditech, Trusting Social Company Limited, Creditinfo Group hf., Zest AI, Nova Credit, Levine Leichtman Capital Partners, CredoLab, ITGalax Solutions Pvt Ltd, Radix Analytics Pvt Ltd., SAS Institute, VantageScore Solutions LLC, PayCrunch Technologies Private Limited.

North America was the largest region in the credit scoring market in 2024. Asia Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in credit scoring report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the credit scoring market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The credit scoring market includes revenues earned by entities by providing services such as credit risk assessment, credit score generation, credit monitoring, fraud detection, customer profiling, and decision analytics for lending and financial institutions. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp rise in U.S. tariffs and the ensuing trade tensions in spring 2025 are having a considerable impact on the financial sector, particularly in the areas of investment strategies and risk management. The increased tariffs have intensified market volatility, leading institutional investors to adopt more cautious approaches and driving greater demand for hedging solutions. Banks and asset managers are encountering higher costs in cross-border transactions as disrupted global supply chains and declining corporate earnings weigh on equity market performance. At the same time, insurance providers are facing elevated claims risks linked to supply chain interruptions and trade-related business losses. Furthermore, reduced consumer spending and weaker export demand are limiting credit growth and dampening investment appetite. In response to these challenges, the sector must focus on diversification, accelerate digital transformation, and strengthen scenario planning to manage the heightened economic uncertainty and safeguard profitability.

Credit scoring refers to the use of statistical models and algorithms to evaluate an individual’s or business’s creditworthiness based on their financial history, credit behavior, and other relevant factors. It assigns a numerical score that indicates the likelihood of timely debt repayment. Credit scoring helps assess the risk associated with lending and supports responsible credit decisions.

The primary types of credit scoring models include statistical models, machine learning models, and expert system models. Statistical models are mathematical frameworks that represent, analyze, and interpret data by identifying relationships between variables. The data sources used in credit scoring include internal data, external data, and alternative data. These are applied in areas such as consumer lending, business lending, mortgage financing, and fraud detection. Key end-users of credit scoring solutions include banks, non-banking financial institutions, as well as companies in the telecommunications and retail sectors.

The credit scoring market research report is one of a series of new reports that provides credit scoring market statistics, including credit scoring industry global market size, regional shares, competitors with a credit scoring market share, detailed credit scoring market segments, market trends and opportunities, and any further data you may need to thrive in the credit scoring industry. This credit scoring market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.