In 2026, it is estimated that more than 11,000 Americans will turn 65 every day, and for many their home is their largest asset and their best hope for navigating retirement on a fixed income. For these seniors, tapping into their home equity may be their best (or only) option to address rising costs of medical care, assist loved ones in building multigenerational wealth and protect decades of hard-earned savings. Yet a quiet regulatory shift being considered threatens seniors’ ability to meet their financial needs.
The tri-merge credit reporting system (which builds a consumer report by pulling data from all three national credit reporting agencies) has long ensured fair and accurate credit reporting and has been a safeguard for consumers. Now, pressure is mounting to dismantle it in favor of a cheaper, less accurate alternative that could lock seniors out of fair lending decisions at the moment they can least afford it.
For seniors with long and complex financial histories, often spanning multiple mortgages, refinancings, joint accounts, and paid-off loans, the comprehensive approach provided by tri-merge credit reporting reduces the risk that missing or outdated data will distort their creditworthiness. Consumer credit reporting is voluntary for lenders and creditors, and research shows that small errors can have outsized consequences. A missing tradeline or incorrectly reported balance can lower borrower scores and increase interest rates, limit access to refinancing, or delay approval for a home equity loan. Tri-merge credit reporting helps prevent this from happening by ensuring that lenders see the full record of decades of responsible borrowing that may not be fully captured in a single-bureau report.
In an era of multigenerational households, the stakes grow even higher. Seniors, many times co-sign loans for children or grandchildren, maintain joint accounts with spouses, or manage shared financial obligations across generations. A comprehensive reporting system ensures those relationships are fully captured, protecting both older and younger family members from unfair outcomes driven by missing information.
The tri-merge system also strengthens protections against financial fraud and identity theft—risks that disproportionately target older Americans. Fraudulent activity often appears unevenly across credit reports, with discrepancies in names, addresses, or account activity surfacing in one bureau before another. By comparing information across all three sets of data, tri-merge credit reporting increases the likelihood that those red flags are detected from the beginning. For seniors, who may lack the time, resources, or technological savvy to catch fraudulent activity or unwind it after the fact, such early interventions can prevent lasting financial harm.
Yet despite these benefits, some special interests in Washington have floated a proposal to replace the tri-merge system with streamlined alternatives that rely on two, or even a single credit report to make important lending decisions. Proponents argue that these changes would simplify the process, but this should not come at the expense of accuracy—especially for retirees.
Reducing the number of credit reports involved in underwriting decisions increases the likelihood that key information will be missed and creditworthy seniors will be misclassified through no fault of their own. It also makes it harder for lenders to distinguish between low-risk and high-risk borrowers creating uncertainty that ultimately harms consumers through higher borrowing costs and reduced access to credit overall.
The tri-merge credit reporting system is not outdated, nor does it require unnecessary redundancies. Rather, it preserves accuracy and transparency in the lending process thus protecting borrowers, lenders, and taxpayers alike. For seniors living on fixed incomes, this translates into fairer pricing and financial reputations that reflect reality. Changes to the current system would not improve consumer outcomes but rather remove safeguards that protect vulnerable populations, such as retirees, who need it most. Preserving comprehensive credit reporting standards should continue to remain a long-lasting priority.
