A global standard to measure credit risks in various industries

FICO is one of the best credit report resources though it is available in so many kinds. There are so many consumer divisions of FICO. Every lender uses their particular FICO. It was introduced several decades ago, credit risks in credit card, mortgage, banking, retail, and auto industries are measured by this very worldwide standard.

FICO scores are used by financial industries so that consumer credit decisions are made.  The FICO was invented by Fair Isaac. FICO credit risk score is used by the lenders. It was launched in 1960. A revolution was sparked by Fair Isaac. For the first time, credit risk scoring was pioneered. The prime objective was to facilitate financial services industry.

The business performance of financial institution was improved by this new approach to lending. These days, almost all the lender widely recognized Fair Isaac’s FICO score thinking that it has become the industry standard for them. Other credit report resources are used way less than FICO. (more…)