Clarification services collect data on near-prime and subprime consumers—typically those with FICO scores of 659 or less. Clear uses this data to generate its credit reports, which are regulated by it Fair Credit Reporting Act.
According to an October 2025 Federal Reserve Board publication entitled Alternative Data Can Expand Access to Credit, approximately 32 million American adults lack a traditional credit score because they have limited or no credit history with credit reporting agencies.
The purpose of the clarification is to improve financial access for consumers who lack existing accounts that appear Credit reportslike mortgages, credit cards and personal loans. experienced, One of the US credit bureausreceived clarification in October 2017.
How it works
The descriptive data indicate that consumers use alternative financial services, including check cashing outlets, money orders, car title lenders, payday loan stores, pawn shops, rent-to-own stores and prepaid cards. Alternative credit data also includes other sources of information, such as cash flow, rent payments and verified income.
Lenders may choose to use descriptive data in addition to the traditional credit reports they typically use when reviewing applications for credit cards and loans. When this data is factored into a lender’s decision-making, it can give them a more complete picture of an applicant’s financial background, potentially improving their odds of qualifying for a loan product.
What explanation does it offer?
If you’ve used alternative financial services through providers that report clear payment information, you may have a clear credit report. You can request your detailed credit report and score online, by mail or by calling (866) 390-3118.
The Clarity Credit Score is not the same as a traditional credit score, such as FICO, Vantage Score or a calculation from one of the major credit bureaus. But you can access your score for educational purposes, which can be a helpful starting point if you’re establishing or rebuilding credit. Lenders can also access this score along with other financial information about you.
Note that not all lenders use descriptive statistics, so your eligibility for loan products is never guaranteed.
