Growing threat of credit washing
Roughly $10B in debt was erased from credit reports in 2025
Lenders are on the lookout for consumers who are illegally scraping negative tradelines on credit reports to boost their credit score — and AI is playing a role in both catching the fraudsters and identifying gaps in lending systems. The scheme is called credit washing, and it’s on the rise. Last year, roughly 5% of U.S. consumers had charged-off accounts […]
