FICO Announces New Credit Score Based on Alternative Data
Wednesday, April 8th, 2015
Fair Isaac Corp., the creator of the most widely used consumer credit scores, announced a new score intended to make millions of people who have had difficulty getting approved for financing creditworthy.
The Wall Street Journal reported the creation of the new score, currently in a pilot phase.
The pilot program from Fair Isaac, also known as FICO, allows 12 of the largest U.S. credit-card issuers to identify consumers who would otherwise have difficulty getting approved for credit, though FICO didn’t name the issuers.
FICO said the score complies with regulations that will allow lenders to “extend credit responsibly.” The firm plans to complete the pilot program and make the score available to more lenders this year.