T-Mobile is Improving Its Credit Check for Postpaid Customers

T-Mobile is making improvements to how it conducts credit evaluations for postpaid customers.

This is the Un-carrier’s way of checking a new customer’s creditworthiness, deciding his maximum credit limit, and the maximum number of lines he can open. And as reported by The Mobile Report, T-Mobile’s credit check update looks to be promising for everyone.

One of the changes that will be happening is that the Un-carrier will stop using “credit classes” to determine how creditworthy a new customer is. By changing this strategy, every customer opening a new account on T-Mobile will be treated uniquely.

The document shared in the report shows that T-Mobile’s new system will re-check a customer’s credit six months after activation. There will also be an ongoing evaluation to see the customer’s account activity for his payment history and tenure.

As a result of this, T-Mobile can decide whether a customer’s credit limit can go up, down, or stay the same. So if you regularly pay your bills on time, you can expect to get a higher credit limit. But if you make a late payment several times, your credit limit may go down.

The document does not mention how often or when they will be conducting a re-evaluation on customer’s accounts. But hopefully, they’ll be able to create a system that works for everyone since this is a welcomed change to T-Mo’s credit worthiness. In the past, a credit class gets determined upon the time a customer opens an account. This is likely the only time a credit check is processed so it doesn’t sit well with long-term customers.

The new process is also an advantage for customers who have bad credit yet make sure to pay their bills on time. This will allow them to have better financing options with T-Mobile.

The report notes that T-Mobile will only be using the customer’s internal account history for credit reevaluation. They will not be using an external credit check offered by other credit reporting agencies.

The new change will take effect on June 21st and will only be limited to postpaid T-Mobile customers. Metro by T-Mobile and T-Mobile Prepaid customers will not be affected since these accounts do not require a credit check upon activation.