Experian Boost comes with downsides for consumers, according to Amy Traub, associate director of research at the public policy group, Demos. She said lenders will be able to use the data they glean from consumer bank accounts in ways the public may not understand.
"It also allows them to make marketing decisions: who to promote which products to, how to get us hooked on the products that are most profitable and lucrative for the lender, " said Traub.
This is the second new service that credit agencies have launched this year that allows consumers to share their checking account info. In October, Fair Issac Corporation — home of the FICO score — launched a service called UltraFICO, which gives consumers the ability to consent to having their bank accounts monitored in order to influence their credit scores.