Your FICO® Scores predict how likely you are to pay back a credit obligation as agreed. Lenders use FICO® Scores to help them quickly, consistently and objectively evaluate potential borrowers’ credit risk.

Is there a difference between FICO and credit score?

FICO® Scores☉ and credit scores can be the same thing—but FICO® also creates different products, and other companies create credit scores. You can think of a credit score as the general name for a computer model that analyzes consumer credit reports to determine a score.

Is FICO score more important?

While there are many types of credit scores, FICO Scores matter the most because the majority of lenders use these scores to decide whether to approve loan applicants and at what interest rates.”

Do lenders use FICO score or credit score?

For the majority of general lending decisions, such as personal loans and credit cards, lenders use your FICO Score. Your FICO Score is calculated by the data analytics company Fair Isaac Corporation, and it’s based on data from your credit reports. VantageScore, another scoring model, is a well-known alternative.

What is FICO Score good for?

A FICO Score is a three-digit number based on the information in your credit reports. It helps lenders determine how likely you are to repay a loan. This, in turn, affects how much you can borrow, how many months you have to repay, and how much it will cost (the interest rate).

Who is Fico and what does it do?

FICO (legal name: Fair Isaac Corporation), originally Fair, Isaac and Company, is a data analytics company based in San Jose, California focused on credit scoring services.

What do industry specific FICO scores do for You?

Industry-specific FICO ® Scores incorporate the predictive power of base FICO Scores while also providing lenders a further-refined credit risk assessment tailored to the type of credit the consumer is seeking.

Who are the founders of the FICO score?

FICO (legal name: Fair Isaac Corporation), originally F air, I saac and Co mpany, is a data analytics company based in San Jose, California, focused on credit scoring services. It was founded by Bill Fair and Earl Isaac in 1956. Its FICO score, a measure of consumer credit risk, has become a fixture of consumer lending in the United States.

Which is the latest version of FICO scores?

FICO 10 and FICO 10T, collectively known as the “FICO 10 Suite,” are the latest credit scoring models from FICO (formerly the Fair Isaac Corporation). According to the company, FICO 10 and FICO 10T are designed to outperform all previous versions of FICO scores in helping lenders evaluate credit risk.