New Credit Scoring Model

It appears that there will be a new credit scoring model.  The new model is being dubbed “FICO 08.” 

Supposedly, this model is designed to help more qualified borrowers get the loans they deserve and filter more borrowers from potential default.  Mostly, it’s geared towards punishing repeat default borrowers more.  Borrowers who have an infrequent delinquency will not be hit as hard as they did in the past.

Here’s a LINK to an article on the Wall Street Journal regarding the new scoring model.

Related posts:

  1. Are Banks Slowing Down Loan Modifications?

Leave a Reply

  

  

  

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>