Prbc
Encyclopedia
PRBC is a consumer credit reporting agency, more commonly referred to as a credit bureau
in the United States. It is similar to the other four U.S. credit bureaus (Equifax
, Experian
, TransUnion
and Innovis
) in that it is an FCRA (Fair Credit Reporting Act
) compliant national data repository. However, PRBC differs in a few distinct ways. Consumers are able to self-enroll and report their own non-debt payment history to PRBC. They can build a positive credit file based on alternative data
, such as timely payments for bills such as rent, utilities, cable, telephone, and insurance that are not automatically reported to the other bureaus.
in support of the company's mission to build a national data infrastructure that incorporated rental payments into credit reporting to benefit consumers. PRBC also received funding from the Omidyar Network
, The Center for Financial Services Innovation
and TTV Capital. Initial data subscribers included Fannie Mae, Freddie Mac, and Citimortgage.
In 2005 and 2006, the National Credit Reporting Association (NCRA) and the National Association of Mortgage Brokers (NAMB) announced separate agreements with PRBC to help educate consumers how to document their creditworthiness by building a credit history based on their non-debt recurring payments.
In November 2006, PRBC received a patent from the United States Patent and Trademark Office
for the company's technology and method for collecting data on commonly recurring bill payments made by individuals and small businesses, and incorporating them in a credit file, credit report, and credit score.
In December 2006, Fannie Mae and Freddie Mac acknowledged that PRBC Reports comply with standards for establishing the credit reputations of borrowers for loans that can be sold to them.
In March 2007, mortgage insurer Mortgage Guaranty Insurance Corporation
(MGIC) announced an agreement to use PRBC Reports with PRBC Bill Payment Score (BPS) to automate their approval decisions for consumers with "thin" or no traditional credit histories.
At the end of 2007, Fair Isaac
and PRBC announced a partnership to deliver PRBC Credit Report with FICO Expansion Score, a comprehensive credit risk management tool that U.S. mortgage lenders can use when assessing the risk of applicants who have little or no traditional credit history.
Credit bureau
A credit bureau , or credit reference agency is a company that collects information from various sources and provides consumer credit information on individual consumers for a variety of uses. It is an organization providing information on individuals' borrowing and bill paying habits...
in the United States. It is similar to the other four U.S. credit bureaus (Equifax
Equifax
Equifax Inc. is a consumer credit reporting agency in the United States, considered one of the three largest American credit agencies along with Experian and TransUnion. Founded in 1899, Equifax is the oldest of the three agencies and gathers and maintains information on over 400 million credit...
, Experian
Experian
Experian plc, formerly known as CCN Systems, is a global credit information group with operations in 36 countries. The company employs 15,500 people with corporate headquarters in Dublin, Ireland and operational headquarters in Nottingham, England and Costa Mesa, California, US...
, TransUnion
TransUnion
TransUnion is the third largest credit bureau in the United States, which offers credit-related information to potential creditors. Like major competitors Equifax and Experian, TransUnion markets credit reports directly to consumers.- History :...
and Innovis
Innovis
Innovis is the 4th credit bureau in the United States, the other three being Equifax, Experian and TransUnion. Currently, a much smaller number of companies use Innovis for credit reporting, one being Trade Capital Company...
) in that it is an FCRA (Fair Credit Reporting Act
Fair Credit Reporting Act
The Fair Credit Reporting Act is a United States federal law that regulates the collection, dissemination, and use of consumer information, including consumer credit information. Along with the Fair Debt Collection Practices Act , it forms the base of consumer credit rights in the United States...
) compliant national data repository. However, PRBC differs in a few distinct ways. Consumers are able to self-enroll and report their own non-debt payment history to PRBC. They can build a positive credit file based on alternative data
Alternative data
In economic policy, alternative data refers to the inclusion of non-financial payment reporting data in credit files, such as telecom and energy utility payments. Only 39 of 178 economies have credit bureaus that currently track alternative data....
, such as timely payments for bills such as rent, utilities, cable, telephone, and insurance that are not automatically reported to the other bureaus.
Company history
Headquartered in Annapolis, Maryland, PRBC was incorporated on March 12, 2002 under the name Pay Rent, Build Credit, Inc. The company name was later shortened to PRBC because all recurring bill and loan payments can be used to build credit, not just rent. PRBC received two initial funding grants from the Ford FoundationFord Foundation
The Ford Foundation is a private foundation incorporated in Michigan and based in New York City created to fund programs that were chartered in 1936 by Edsel Ford and Henry Ford....
in support of the company's mission to build a national data infrastructure that incorporated rental payments into credit reporting to benefit consumers. PRBC also received funding from the Omidyar Network
Omidyar Network
Omidyar Network is a philanthrocapitalist investment firm established in 2004 by eBay founder Pierre Omidyar and his wife Pam. To date, Omidyar Network has committed more than $290 million to for-profit companies and nonprofit organizations that foster economic advancement and encourage individual...
, The Center for Financial Services Innovation
The Center for Financial Services Innovation
The Center for Financial Services Innovation is a nonprofit financial services consultancy headquartered in Chicago, specializing in serving unbanked and underbanked consumers...
and TTV Capital. Initial data subscribers included Fannie Mae, Freddie Mac, and Citimortgage.
In 2005 and 2006, the National Credit Reporting Association (NCRA) and the National Association of Mortgage Brokers (NAMB) announced separate agreements with PRBC to help educate consumers how to document their creditworthiness by building a credit history based on their non-debt recurring payments.
In November 2006, PRBC received a patent from the United States Patent and Trademark Office
United States Patent and Trademark Office
The United States Patent and Trademark Office is an agency in the United States Department of Commerce that issues patents to inventors and businesses for their inventions, and trademark registration for product and intellectual property identification.The USPTO is based in Alexandria, Virginia,...
for the company's technology and method for collecting data on commonly recurring bill payments made by individuals and small businesses, and incorporating them in a credit file, credit report, and credit score.
In December 2006, Fannie Mae and Freddie Mac acknowledged that PRBC Reports comply with standards for establishing the credit reputations of borrowers for loans that can be sold to them.
In March 2007, mortgage insurer Mortgage Guaranty Insurance Corporation
Mortgage Guaranty Insurance Corporation
Mortgage Guaranty Insurance Corporation is a provider of private mortgage insurance in the United States....
(MGIC) announced an agreement to use PRBC Reports with PRBC Bill Payment Score (BPS) to automate their approval decisions for consumers with "thin" or no traditional credit histories.
At the end of 2007, Fair Isaac
Fair Isaac
Fair Isaac Corporation is a public company that provides analytics and decision making services—including credit scoring—intended to help financial services companies make complex, high-volume decisions.- History :...
and PRBC announced a partnership to deliver PRBC Credit Report with FICO Expansion Score, a comprehensive credit risk management tool that U.S. mortgage lenders can use when assessing the risk of applicants who have little or no traditional credit history.
See also
- Consumer credit reporting agency
- Political and Economic Research CouncilPolitical and Economic Research CouncilPERC, the Policy and Economic Research Council is a Durham, North Carolina based non-profit, non-partisan think tank that concentrates on market-based economic development, both in the United States and internationally...
-- a think tank involved in the same issue area as PRBC