Fico CreditThe Fico Credit
FICO scale lies between 350 and 850 and is generally regarded as "excellent". It comes from the Fair Isaac Corporation, which developed the system.... Creditworthiness calculated from the name of the firm that has written the program that calculated the results. Denise L. Evans, JD & O. William Evans, JD's complete real estate lexicon.
The Fico Group aims to sub-bank with an alternate credit rating system.
Isaac Fair is testing a new credit rating system that uses alternate information to help sub-banks demonstrate their credit worthiness. Million of Americans are currently not able to obtain credit card, mortgage and car loan payments because they do not have enough credit histories to earn points.
The Fair Isaac Fico team says its analysts have found that alternate information such as real estate record keeping, telecommunication and utilities information can be used faithfully to evaluate these individuals. LexisNexis and Equifax are now using information from LexisNexis and Equifax to provide 12 of the major credit cards companies with a Fico value that meets regulatory requirements and can be used to grant credit to new clients.
It is anticipated that the project will be finished in the next few month before the services will be expanded to other companies. Fico says, "Fico's main emphasis is on increasing credit and not just attracting more people," Jim Wehmann, EVP, points out. We also address a quandary for those looking for their first conventional credit instrument - they often need a credit record before they can take out a conventional loan."
"Credit cards publishers are looking for ways to securely extend credit exposure using new trusted, conforming and forward-looking credit information and we have seen an unbelievable resonance to this piloting program." Given that more and more individuals are depositing large amounts of information on-line, several actors are trying out new methods for assessing a person's credibility.
In Colombia, Startup Lenddo has introduced a credit line called "Social Network", which accepts or rejects candidates on Facebook and Twitter because of their reputation. Meanwhile, the London-based Aire is compiling things such as resumes, academical notes and pay slips using algorithmic data to see if the loan should be renewed.