FICO score

Also found in: Dictionary.

FICO score

Credit scoring model developed by the Fair Issac Corporation.

FICO Score

A way of measuring an individual's creditworthiness. A FICO score is a quantification of a variety of factors in an individual's background, including a history of default, the current amount of debt, and the length of time that the individual has made purchases on credit. A FICO score ranges between 350 and 850. In general, a score of 650 is considered a "fair" credit score, while 750 or higher is considered "excellent." A FICO score is a convenient way to summarize an individual's credit history and is included in a credit report. The term comes from the Fair Isaac Corporation, which created the system.

FICO score.

Created by the Fair Isaac Corporation, FICO is the best-known credit scoring system in the United States.

Based on the information in your credit report, your FICO score is calculated using complex, proprietary formulas that weigh the amount of debt you carry relative to your available credit, the timeliness of your payments, the type of debt you carry, and a great many other factors to assign you a credit score between 300 and 850.

The top 20% of credit profiles receive a score over 780 and the lowest 20% receive scores under 620. Lenders use your credit score to assess your credit risk, or the likelihood that you will default on a loan and offer the best -- or lowest -- interest rates to credit applicants with the highest scores.

The Equal Credit Opportunity Act (ECOA) prohibits factors such as race, color, gender, religion, national origin, or marital status from being considered in any credit scoring system, including FICO.

Fair Isaac Company (FICO) score

A credit score, based on the name of the company that wrote the software that calculates the scores.

FICO Score

See Credit Score.

References in periodicals archive ?
Once logged into their account, in a single click a user can know their FICO Score, the relative score strength, key score factors and 12 months of historical scores and factors.
Because other credit scores look similar to FICO Scores, consumers have no way of determining, through the credit score itself, whether or not it's a FICO Score.
According to the SPFC release, Fannie Mae says loans with a FICO score of less than 620 currently account for only 1 percent of its business.
Lenders now frown upon those with scores in the high 600s, today it typically takes a 700/720 FICO score to obtain a mortgage.
But you can't ask someone their FICO score on the first date.
95), who says "the truth of the matter is, you will get the highest FICO score if you pay off the entire balance each month.
The FICO score is a mathematical formula that takes into consideration the customer's payment history, amounts owed, length of credit history, new credit and types of credit.
The iPhone app helps you be smart about your FICO score anywhere, anytime, and it's fun to boot.
Just two years ago we launched FICO Score Open Access with the holders of 8 million consumer accounts able to receive their FICO Scores for free, and today we have surpassed 100 million, thanks to the nation's lenders that share our commitment to consumer financial empowerment.
FICO' s findings show that millions of consumers score 620 or higher with FICO Score XD, and that once these consumers obtain credit, a majority go on to maintain good credit and achieve high traditional FICO Scores.
FICO scores range from 300-850, with 720 or more as excellent.
Our FICO Score Analysis report with Kroll Factual Data will help businesses steer their applicants and customers toward better credit health.