The FICO(R) 8 Score, according to FICO, is becoming a popular choice for consumer credit risk assessment among banks and financial institutions. Being used by over 2,500 so far, this score is a way to determine the risk involved in taking on a customer.
A recent report from a major U.S. bankcard issuer says its use has helped it produce more profits because it has taken on fewer risky customers who are likely to default with car financing, credit cards and more. As a borrower, this means it’s good to learn more about the new FICO credit score to understand how it affects your personal credit score and opportunities for financing (Market Watch).
FICO’s score is the primary credit score system used by lenders. In addition to obtaining a FICO score, consumers can get a PLUS score to keep track of their credit-worthiness.