Advertisement
HomeCollectionsFico
IN THE NEWS

Fico

FEATURED ARTICLES
BUSINESS
Eileen Ambrose | June 20, 2013
It seems everyone was racking up debt before the 2007 recession hit. But once the economy tanked, consumers started paying it down. That is except those who are age 60 and up, according to FICO, the credit score company. In fact, consumers in that age group saw the steepest decline in credit scores. Back in 2005, 55.4 percent of 60+ had healthy FICO scores of 760 or higher. That dropped to 51.6 percent last year. Debt is a factor in credit scores. FICO found that debt among those 60 and older rose from $49,330 to $55,200 in the five years after October 2007, a nearly 12 percent increase.
ARTICLES BY DATE
BUSINESS
Eileen Ambrose | June 20, 2013
It seems everyone was racking up debt before the 2007 recession hit. But once the economy tanked, consumers started paying it down. That is except those who are age 60 and up, according to FICO, the credit score company. In fact, consumers in that age group saw the steepest decline in credit scores. Back in 2005, 55.4 percent of 60+ had healthy FICO scores of 760 or higher. That dropped to 51.6 percent last year. Debt is a factor in credit scores. FICO found that debt among those 60 and older rose from $49,330 to $55,200 in the five years after October 2007, a nearly 12 percent increase.
Advertisement
BUSINESS
By KENNETH HARNEY | May 20, 2006
Is it a FICO score or a Fake-O? Mortgage brokers and lenders say it happens all the time: A mortgage applicant says, "Oh, I've already checked my credit score online." Then the loan officer pulls the homebuyer's FICO score and finds that it's 50 or 100 points lower than the generic credit score the applicant quoted. "This is becoming a real problem - a lot of people simply don't know the difference between FICO scores and other scores," says Ginny Ferguson, immediate past chairwoman of the National Association of Mortgage Brokers' credit-scoring committee and co-owner of Heritage Valley Mortgage Inc. of Pleasanton, Calif.
BUSINESS
By EILEEN AMBROSE | February 5, 2009
Lifting your credit score is important during a downturn The average credit score has barely budged despite a recession that's lasted more than a year, according to credit reporting agency Experian. But what has changed significantly is the score needed to be viewed as a good credit risk to lenders. Two years ago, you could easily get credit if you had a FICO score of 680 or higher, says John Ulzheimer with Credit.com. Now to be considered a very good credit risk, lenders expect 750 or more, he says.
BUSINESS
January 10, 1999
Fair, Isaac and Co. Inc. -- the firm that developed the use of credit scoring in mortgage applications -- has expanded its Web site with easy-to-understand information on credit scoring."
BUSINESS
By Eileen Ambrose and Eileen Ambrose,Sun Columnist | August 5, 2007
Potentially millions of consumers will soon see a change in their credit score, and in some cases it might disappear altogether. It's not because of anything they've done. Rather, the formula for the widely used FICO credit score is about to change. Fair Isaac Corp., creator of the FICO score used by lenders, says it will no longer consider authorized user accounts when factoring a consumer's score. An authorized user of a credit card is free to use the plastic, but doesn't have to pay the bill.
BUSINESS
By JONATHAN A. AZRAEL | March 25, 2001
Dear Mr. Azrael, I have questions about FICO scores, which are used by credit reporting companies to rate the creditworthiness of borrowers. An article in the Jan. 21 issue of The Sun stated that borrowers using high-rate consumer credit loan companies take a hit on their FICO scores. Will borrowing from a high-rate loan company hurt my ability to refinance my home loan with a lower-rate mortgage company or savings bank? Will high-rate borrowing affect my ability to finance the purchase of a second home?
BUSINESS
By KENNETH HARNEY | February 24, 2002
EVER WONDER why you got charged a higher interest rate and fees on your mortgage than the best you saw advertised? One possible reason is an issue now stoking controversy within the American mortgage industry: the use by lenders of outdated credit-scoring systems that tend to lower applicants' scores. Outdated software frequently helps justify higher rate quotes and higher loan fees, critics say. If you need a 680 "FICO" score to qualify for a lender's best rate and yours comes in at 650, "the lender says, `Sorry, but you just missed the cut and I've got to charge you a higher rate,'" according to Richard F. Le Febvre, president of AAA American Credit Bureau Inc. of Flagstaff, Ariz.
BUSINESS
By Ken Harney and Ken Harney,Earthlink | June 15, 2007
The days may be numbered for dozens of Internet-based companies that promise to quickly boost FICO credit scores by 200 to 300 points. Fair Isaac Corp., the developer of the widely used FICO score, plans to introduce key changes designed to derail schemes that transplant high-quality credit-card histories into the files of people with low FICO scores. The credit-boost companies, easily found on the Web by searching for "rent a credit tradeline" or "rent a credit card," claim they violate no federal laws and are not seeking to defraud mortgage lenders.
BUSINESS
By EILEEN AMBROSE | February 5, 2009
Lifting your credit score is important during a downturn The average credit score has barely budged despite a recession that's lasted more than a year, according to credit reporting agency Experian. But what has changed significantly is the score needed to be viewed as a good credit risk to lenders. Two years ago, you could easily get credit if you had a FICO score of 680 or higher, says John Ulzheimer with Credit.com. Now to be considered a very good credit risk, lenders expect 750 or more, he says.
BUSINESS
By JAMIE SMITH HOPKINS | August 17, 2008
A good credit score matters a lot now if you're in the market for a home loan and don't want a 10 percent interest rate. Lenders are much, much pickier than they were before being hit by the foreclosure wave. Two years ago, a 620 FICO score was enough to get the best mortgage rate, says John Ulzheimer, president of consumer education for Credit.com, a financial services and consumer education firm. Nowadays? The 700s. His top score-improvement suggestion: "Never ever give a lender a reason to say anything bad about you to the credit bureaus."
BUSINESS
By JAMIE SMITH HOPKINS | August 10, 2008
You probably know your SAT score, assuming you took the test. But what about your credit score? Once you're past the college-application stage of life, the second score is a lot more important. Or, rather, scores, because a variety of companies are watching and grading you. Mortgage lenders look at your scores to help determine how big a risk you are, and therefore what interest rate you should pay. Many others will take a peek, too, from credit-card companies to insurers to apartment complexes.
BUSINESS
By EILEEN AMBROSE | August 5, 2008
Fair Isaac Corp. is revising the formula for its widely used FICO credit score for the second time in a year. This time, the company seems to have gotten it right. Last week, the company said it would restore "authorized user accounts" when it calculates the FICO credit score. That's a reversal of a year ago. "Two thumbs up," John Ulzheimer, president of consumer education for Credit.com, says of this latest development. Lenders use credit scores to determine whether to extend credit to you and under what terms.
BUSINESS
By KEN HARNEY | April 13, 2008
The country's two largest sources of mortgage money have a blunt warning for anyone thinking about joining the growing "walkaway" trend, where homeowners stop making payments and months later send the house keys back to their lender: You will feel the pain. On March 31, Fannie Mae sent out new guidelines to lenders aimed at walkaways and other foreclosure situations. Fannie will now prohibit foreclosed borrowers from getting another mortgage through the giant investor for five years, unless there are "documented extenuating circumstances."
BUSINESS
By ILYCE GLINK | January 18, 2008
Credit repair scam artists will charge you anywhere from $500 to $1,500 or more upfront, and promise you everything from a new Social Security card to perfect credit. What should you do if you have bad credit? Here are 10 tips that are designed to improve your credit history and raise your credit score: Pull a copy of your credit history from AnnualCreditReport.com. Sponsored by the three credit reporting bureaus, Equifax, Experian and TransUnion, AnnualCreditReport.com is the only place you can go to get a truly free copy of your credit history.
BUSINESS
By Pamela Yip and Pamela Yip,The Dallas Morning News | January 8, 2008
DALLAS -- Credit bureaus are expected to adopt a new version of the widely used FICO credit score this year that will no longer benefit so-called "authorized users" on another person's credit card account. It's common for parents to add a child as an authorized user on their credit card to boost the child's credit score. That benefit would no longer exist under a new scoring model by Fair Isaac Corp., the company that developed the FICO score. You can still be an authorized user, but Fair Isaac will no longer factor authorized-user accounts into its credit-scoring formulas.
BUSINESS
By Lorene Yue | November 14, 2004
Punch up: www.bankrate.com /brm/fico/calc.asp Why it clicks: The talk about how credit scores are used to determine everything from your interest rate to whether you'll land a job might have you wondering where you rank. Bankrate.com and Fair Isaac Corp., inventor of the FICO score, have teamed up to give you an idea of where you stand. The download: FICO scores, which range from 300 to 850, are based on your credit history and give lenders a snapshot of how good a risk you are. The higher your score, the better interest rate and terms you'll get. The simulator asks 10 questions and spits out a score.
BUSINESS
By KEN HARNEY | November 4, 2007
So-called "piggyback" credit-score inflation schemes for mortgage applicants haven't been reined in, despite industry pledges to do so at the end of summer. As a result, lenders continue to be misled into treating loan applicants with poor credit as prime-credit candidates - worsening already critical fraud and delinquency problems in the mortgage market. Fair Isaac Corp., developer of the FICO score widely used for home loan underwriting, confirmed that its "FICO '08" scoring model is not yet available at any of the three national credit bureaus.
BUSINESS
By KEN HARNEY | December 16, 2007
It may be the only test you flunk if you score too high: It's called the "FICO Test" and it is a key element of the sometimes arcane new guidelines governing which homeowners qualify for "fast track" interest rate freezes on their subprime mortgages, and those who don't. The rate freeze and loan modification program, announced Dec. 6 at the White House, is a voluntary, nongovernmental effort by major lenders, mortgage servicers and bond investors to provide alternatives to foreclosure for homeowners facing unaffordable payment resets during the coming two years.
BUSINESS
By KEN HARNEY | December 9, 2007
Call it the credit risk hangover following the housing boom binge: Homebuyers and refinancers who can't come up with sizable down payments, and whose FICO credit scores are below 680, are about to get squeezed in the mortgage market. Giant investors Fannie Mae and Freddie Mac are imposing significant increases in fees for a broad range of borrowers who have lower than 30 percent down payments and formerly were treated as "prime" credit applicants. At the same time, the two largest private mortgage insurers -- MGIC Corp.
Baltimore Sun Articles
|
|
|
Please note the green-lined linked article text has been applied commercially without any involvement from our newsroom editors, reporters or any other editorial staff.