Credit Coach - Helping People Achieving Their Home Buying Dreams

Credit Coach

Boosting customer retention and renewing homebuyer hope.

Overview

Credit Coach is a tool that helps consumers whose mortgage application was rejected because of a low credit score understand their credit health more holistically and take actionable steps to improve it. 

This resulted in an increase in customer retention for Rocket and a way forward for the customers despite the application rejection.

Company

Rocket Mortgage

Duration

3 months

My Contribution

UX Design

Prototyping

Visual Design

Design Systems

Collaborators

Abriel Shipley

Cherie Chung

Revolutionizing Mortgage Approvals with Credit Coach.

Credit Coach is a transformative tool designed to provide personalized credit improvement plans. By analyzing individual credit profiles and offering actionable insights, Credit Coach empowers potential homeowners to overcome financial barriers and achieve their dreams.

Credit Coach enhances customer retention while significantly boosting the success rate of mortgage applications, making homeownership more accessible.

The Problem

Low credit score and it’s critical impact on mortgage approval

In the world of mortgage lending, your credit score isn’t just a number—it’s the key factor that determines whether you can buy a home and at what cost.

For lenders, the credit score is like a report card of an individual’s financial responsibility, influencing everything from loan approval to interest rates.

More than

25%

denial rates for borrowers with credit score under 620

Up to

1.5% higher

interest rates compared to credit scores over 760

Along with application rejections, the problem also lies with the higher interest rates offered for borrowers with a lower credit score.

The difference in interest rates can translate into substantial financial implications. For instance, on a $300,000 mortgage, a borrower with a 3% interest rate would pay approximately $127,000 less over the life of a 30-year loan compared to someone with a 4.5% rate.

Better credit score = Better approval chances + better interest rates

That brings us to the crux of our dilemma...

Customer Needs

Business Needs

User Research

Disappointment, Loss of Trust, and Customer Retention Challenges

“

I didn’t think I was going to get rejected. I did everything right.

- Participant

Key Insight 1

Rejection is a huge disappointment to the customers. Most of them are not fully aware of the factors such as Credit Score that affect the decision process.

“

I hadn’t checked my credit score in a while. I wasn’t aware it was that bad.

- Participant

Key Insight 2

The importance of having a good credit score is frequently overlooked. Most people don’t know where to start in order to improve their Credit Score.

I decided to map the mortgage application journey to identify critical pain points and opportunities for enhancement.

This map served as a valuable tool to identify opportunities for introducing a potential solution.

A customer journey map of the Mortgage application process that highlights the frustrations and the improvement opportunities in the mortgage application journey

Mortgage Application Journey Map

Current Problems

What happens at the end of the mortgage application?

Soft Credit Check

The final stage of the mortgage application, is a soft credit check. If customers are not approved, they are redirected to a rejection page.

Redirection

Along with the rejection message, customers are provided a link to Rocket Homes to check their detailed credit report.

An image of the current decision page of the mortgage application. The image illustrates the issues faced by the customer.

Current decision page after the mortgage application

01 Lack of direction

A rejection with no next steps, leads to abandonment. Lack of actionable guidance leaves users unsure of how to proceed, undermining their confidence in the service.

02 Frustration from redirection

Redirecting customers to another website is unhelpful. The disjointed experience, can lead to user drop-off and negative sentiment towards the brand.

03 Negative language

Using negative terms can further frustrate customers, leading to distrust towards the company. Negative language amplifies feelings of failure and discouragement.

Design Goals and Visual Design

Establishing key design pillars

To address the critical drop-off points and enhance user experience, I established key design pillars.

By establishing these from the start, I ensure the design process remains focused and purposeful, maximizing the impact of the final product.

Design Pillar 1: Transparent Communication

Amplifying value with Rocket’s existing ecosystem

Research revealed that many customers are unaware of the various tools available within the Rocket ecosystem.

By integrating these tools into a cohesive, user-focused plan, we can deliver significant benefits to both the user and the business.

Enhanced value

Customers receive powerful, comprehensive tools that can help improve their credit health, keeping them engaged and supported within the Rocket ecosystem.

Lower customer acquisition costs

Utilizing existing tools helps retain customers within the Rocket ecosystem, translating to lower costs for Rocket since users remain within the established funnel.

Credit Score Simulator

See the credit score impact of new loans or paying off debt.

Debt Management Tool

Strategically pay off your existing loans, credit cards, and mortgages.

Credit Score Planner

Set a goal score, see steps to achieve it, and get an estimated timeline.

Detailed Credit Report

Get a comprehensive view of your credit and factors that affect it.

Empowerment and Retention: Redesigning the decision page

Seamless Introduction

Introducing Credit Coach at the point of rejection provides an immediate alternative and proactive steps towards homeownership.

Continuous Support

No re-authentication or additional permissions needed, ensuring a smooth transition from rejection to empowerment.

This image is the redesigned mortgage application decision page that takes the users to Credit Coach the new tool to help improve their Credit Health

Redesigned Application Decision Page

Designing for diverse customer needs

Not all customers have the same needs when it comes to improving their credit scores. Some may lack credit history, others might have credit card debt, missed payments, or a combination of factors.

It's crucial to offer tailored guidance that aligns with their specific financial goals.

01 Financial Goal Picker

The design of the Financial Goal Picker emphasizes clarity and ease of use. The interface is intuitive, guiding users through the selection process seamlessly.

Each goal is presented with a brief description, enabling users to make informed decisions quickly.

Multiple Goal Selection

Users can choose from a range of financial goals that reflect their immediate and future needs. This flexibility ensures that the guidance provided is relevant and actionable.

User Autonomy

Users have the freedom to update their financial goals as their priorities change, ensuring that the guidance remains aligned with their evolving needs.

This image shows how the customers can choose their Financial Goals when they start using Credit Coach, so that it can generate a personalized plan for them to get their credit health back on track.

Financial Goal Picker Overlay

02 Personalized Action Plans

Based on the chosen goals, customers receive a personalized action plan.

We conducted usability testing on various iterations of the goal card. Each version focused on different aspects of user interaction and information presentation.

Option 1 had multiple tasks within a goal and a way to see your financial journey. Option 2 was more simplified where the task was the goal.

Ultimately, the second iteration was chosen because of a reduced engineering overhead and layout simplicity.

Option 1

Having multiple items within a single goal can confuse users when using checkmarks. Showing a “Next Step” can burden users as improving credit takes time.

Option 2

With a single task within a goal, users are able to quickly visualize progress by looking at the goals.

Step-by-step guidance

Each action plan is broken down into simple, manageable steps that are easy to understand and follow. This ensures users know exactly what they need to do to achieve their goals.

Adaptability

Users can update their financial goals at any time, and their action plan will adapt accordingly, ensuring continuous alignment with their current priorities.

Final visual designs for the financial goals card where the users are shown the steps they need to follow to make progress towards their credit scores.

Personalized Action Plan: Goals Card

Bringing It All Together

The new decision page now redirects users to the Credit Coach page, where they can...

Pick their financial goals.

View their personalized action plan.

Access their detailed credit report.

Leverage existing tools in the Rocket ecosystem.

To ensure the Credit Coach dashboard effectively houses these features, I created multiple medium-fidelity iterations.

Each iteration focused on addressing specific user frustrations identified during the research phase.

Iteration 1

No focus on Credit Score factors. “My Goals” section has lesser prominence and is easy to miss.

Iteration 2

Daily Credit Coaching resources break the flow between Credit History and Credit Tools section, making the credit dial hard to read.

Final Iteration

More focus on Credit Score, separate card for Financial Goals, resources have a separate section.

Maximizing Value and User Experience

Gamifying Credit Improvement with Rocket Rewards

Rocket Rewards is a loyalty program that enables customers to save money by redeeming rewards for down payment and closing cost savings on their next home purchase.

I integrated Rocket Rewards with Credit Coach to introduce a gamified element to the credit improvement journey, thus enhancing engagement and motivation.

Rewarding consistent progress

Customers earn Rocket Rewards by completing tasks in their personalized Financial Plan. This encourages consistent efforts toward improving their credit score.

Value addition

Rocket Rewards can be redeemed for significant savings on their next home purchase, thus adding tangible value for customers and reinforcing their commitment to improving their credit.

This image shows the Rocket Rewards widget that is a part of the Credit Coach dashboard. The users can earn reward points for completing tasks towards their financial goals.

Rocket Rewards Integration

Re-engaging customers in the Rocket ecosystem

Throughout their credit improvement journey, as customers' scores improve, they are introduced to other products by Rocket Mortgage and Rocket Homes.

This approach retains customers within the ecosystem while providing them with continuous support and relevant opportunities, ultimately boosting customer retention and approval rates.

Continuous Ecosystem Engagement

By keeping customers within the ecosystem, they receive personalized recommendations and are guided back into the home buying process.

Business Impact

Keeping customers in the ecosystem boosts their use of other Rocket products, increasing their lifetime value. This approach lowers acquisition costs and grows revenue by building on our existing relationships.

This image shows the Rocket Mortgage and Rocket Home widgets that are a part of the Credit Coach dashboard. When the users have improved their credit score, they can get back into their home search by using these widgets.

Rocket Mortgage Integration

Retrospective

Project Takeaways

Balancing User Needs and Business Goals

This project taught me to view constraints as opportunities, fostering solutions that meet user expectations and align with business objectives.

Collaborating from the Start

Involving cross-functional partners early ensured holistic project progress, considering content strategy and technical feasibility from the beginning.

Utilizing Existing Resources

Leveraging Rocket's existing tools saved time and enhanced the overall solution, demonstrating the value of resourcefulness.

The Power of Empathy

Understanding users' emotions and needs led to more meaningful and enriching experiences, highlighting the importance of designing with empathy.

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