He’s the Kansas City Chiefs tight end vying for his third Super Bowl victory this weekend, and part of perhaps the most famous couple in the world right now.
But Travis Kelce has another, more unlikely name to his name: that of personal finance guru.
The 34-year-old launched a campaign with credit agency Experian in October last year. And in the latest ad popping up all over social media, the NFL star is encouraging Americans to look at their credit scores.
The ad campaign is for the credit bureau’s “Smart Money” checking account and debit card. But its main appeal is that it gives customers access to Experian Boost – a service designed to help people boost their credit score.
Kelce’s campaign has inevitably drawn attention to the bill, but how beneficial is it really to consumers – and are there risks associated with celebrity endorsements of financial products?
The 34-year-old tight end from Kansas City Chiefs launched a campaign with credit agency Experian in October last year
The Experian Smart Money account is a free digital checking account and debit card advertised as helping customers “build credit without debt.”
It is safe and FDIC insured up to $250,000 through its partnership with the small bank Community Federal Savings Bank.
Traditionally, credit scores are calculated based on a person’s track record of repaying loans on time – whether that’s a credit card bill or a mortgage.
But by signing up for Boost, which comes with the account, Experian can scan your bank account for other alternative regular payments you might make each month, including rent, your cell phone bill, or your Netflix subscription.
Your FICO The score, which lenders and potential creditors such as landlords use to assess your ability to manage credit, can range between 300 and 850.
According to Experian, the average American has a credit score of 714.
According to Experian, signing up for Boost, which is free, increases the average credit score by 13 points.
“That can be quite important, especially if you’re on the verge of being approved or rejected,” Ted Rossman, senior industry analyst at Bankrate, told DailyMail.com.
“If you’re on the line between one level of credit and another, improving can save you money in interest and increase your chances of being approved for another loan. It gives you an edge.’
Travis Kelce is currently dating pop superstar Taylor Swift
The NFL player will compete for his third Super Bowl victory this weekend with the Kansas City Chiefs
“Ultimately, a credit score is supposed to predict the likelihood that you will repay a loan,” he added.
“So even if it’s not a traditional loan, like a car loan or a mortgage, if you routinely pay these monthly bills on time, that’s a whole part of the credit world that I applaud.”
However, the main limitation, Rossman points out, is that it only works with Experian.
So if your lender pulls another report, like a credit report from TransUnion or Equifax, it won’t help you, he said.
But the good news is that you can link any checking account to Experian Boost – you don’t have to use their own account.
“I’m a bigger fan of Experian Boost than the Experian Smart Money checking account,” Rossman said. “The checking account isn’t bad, but I think you could probably do better elsewhere.”
The checking account has no monthly fees or minimum balance, and you can earn $50 if you make direct deposit, but otherwise it’s a pretty standard account.
“I would probably encourage people to think a little bit more broadly and figure out what works best for the whole of their financial situation,” he said.
“I think a good approach might be to link a local brick-and-mortar checking account to one of these online savings accounts that offer more than 5 percent interest, so you can move money back and forth as needed.”
What really ‘stands out’ for Ted Rossman is the credit-building aspect of Experian Boost
Your FICO score, which lenders and potential creditors such as landlords use to rate your ability to manage credit, can range between 300 and 850
More than 14 million consumers have used Boost to date, Experian said Business insider.
A spokesperson said working with “ambassadors” like Kelce complemented Experian’s mission “in seeking to reach a broad and diverse audience with information about the resources we offer.”
For Rossman, anything that helps reach people who may have traditionally had more difficulty accessing credit or who may be afraid of it is a positive step.
He added, “With Kelce’s endorsement, I think they’re probably trying to reach a younger audience. “Anything that increases financial literacy, starts these conversations and helps build people’s credit scores is a good thing.”