FICO credit scores will be changed this fall

#1
Rasputin_Vol

Rasputin_Vol

"Slava Ukraina"
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#1
Just another trick they pulled out of their sleeve to pump up the housing and auto markets...

Credit Scores Could Rise With FICO’s New Model

The creator of one of the most widely used and influential credit scores, FICO, said on Thursday that the latest version of its score would no longer weigh medical debts — which account for about half of all unpaid collections on consumers’ credit reports — as heavily as it did in previous iterations.

The newer FICO scores, available this fall, will also ignore any collections that have already been paid; previously, the scores factored paid and unpaid collections equally, though it ignored amounts under $100.
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#3
#3
Rasputin_Vol said:
Just another trick they pulled out of their sleeve to pump up the housing and auto markets...

Credit Scores Could Rise With FICO’s New Model
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Will have no bearing on home/auto loans. Neither are strictly score based. Internal reviews are done on both before final approvals.

And ftr this has already been implemented. It also doesn't weigh as much on a single late pay as in the past. Fico actually tried to remove the benefits from having authorized users on credit reports to boost scores. But, consumers raised hell and they backed off of it. Oh and fico is equifax. The others use their own scoring models- hell some lenders pull your credit and their algorithm calculates your score.
 
#6
#6
I think the medical bills not being counted is a good thing. Become sick and stay in a hospital a few days, some of the billing for various services from different parties is automatically turned over to collection services and the responsible party is not notified for several months. Their credit has taken a hit for a bill or bills they were not aware of.

Those medical bills should be paid and the medical proviers usually work with the responsible party and allow them to make small payments, at the same time some of the medical billing procedures need to be changed. The medical group should bill in a timely manner before turning the account over to a collection agency, IMO.
 
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#9
#9
CNCVol88 said:
Fair enough.
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Never submit anything to them or a collection agency EVER with your written signature or social security number on it. You would not believe some of the things I've seen done to folks.

Just a heads up man
 
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#10
#10
Obsessed said:
Never submit anything to them or a collection agency EVER with your written signature or social security number on it. You would not believe some of the things I've seen done to folks.

Just a heads up man
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Gotcha. Credit agencies are right up there with lawyers in my book (although I have a good relationship with the Knox County prosecutors Haha.)
 
#11
#11
CNCVol88 said:
Gotcha. Credit agencies are right up there with lawyers in my book (although I have a good relationship with the Knox County prosecutors Haha.)
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Credit agency's are regulated by the federal government. Most folks think they are part of the fed. They are private business's.

Collection agency's prey on the uneducated and elderly. They are lower than lawyers in my opinion. I run them in the ground every chance I get. I ran one of the bigger ones out of the state of arkansas. They then proceeded to hire local attorneys, three different times, and lost those attempts as well.

The judge actually complimented my work and asked if I was a law student. Lol.
 
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#12
#12
Obsessed said:
Credit agency's are regulated by the federal government. Most folks think they are part of the fed. They are private business's.

Collection agency's prey on the uneducated and elderly. They are lower than lawyers in my opinion. I run them in the ground every chance I get. I ran one of the bigger ones out of the state of arkansas. They then proceeded to hire local attorneys, three different times, and lost those attempts as well.

The judge actually complimented my work and asked if I was a law student. Lol.
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Well done Ob. I feel the same way about collection agencies.
 
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#14
#14
volinbham said:
Not sure that is a compliment...
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Lol. I took it as one, I beat three different attorneys, from three different firms. Granted it was just in writing and the law was on my side. The judge ordered on the last filing in my favor ( again) and this time finding "with prejudice". I actually had fun.
 
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#15
#15
Obsessed said:
Lol. I took it as one, I beat three different attorneys, from three different firms. Granted it was just in writing and the law was on my side. The judge ordered on the last filing in my favor ( again) and this time finding "with prejudice". I actually had fun.
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serious question: Did you have LG advising you? :crazy:
 
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#17
#17
Obsessed said:
Credit agency's are regulated by the federal government. Most folks think they are part of the fed. They are private business's.

Collection agency's prey on the uneducated and elderly. They are lower than lawyers in my opinion. I run them in the ground every chance I get. I ran one of the bigger ones out of the state of arkansas. They then proceeded to hire local attorneys, three different times, and lost those attempts as well.

The judge actually complimented my work and asked if I was a law student. Lol.
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The very worst are the companies that buy, for pennies on the dollar, unpaid debts of credit card companies and others.
 
#18
#18
Franklin Pierce said:
The very worst are the companies that buy, for pennies on the dollar, unpaid debts of credit card companies and others.
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Yep. Collection agencies. They come after people on 10+ year old debt attempting to scare them to pay them or go to jail. Scares the elderly and uneducated folks to death.

They will lurk in the back ground doing soft pulls on your credit reports and wait to see if you have a hard pull for a home loan. Then bam. The letters and calls come. They hope to scare you to pay them, because if you don't they will list a collection on your reports keeping you from getting your home loan.

They are ruthless and nasty. But, they have deep pockets and write big checks too. :)
 
#19
#19
Pretty sure there have been articles and studies done that have said that FICO is longer the end all be all of credit scores anymore.
 
#20
#20
GoBigOrangeUT said:
Pretty sure there have been articles and studies done that have said that FICO is longer the end all be all of credit scores anymore.
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I'm going to assume you mean "no longer"?

Either way, you are incorrect.
 
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#22
#22
GoBigOrangeUT said:
VantageScore is more commonly used these days than FICO. They get a better cumulative score between the 3 major reporting agencies.
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Incorrect again.


Vantage score is experian driven.


To prove it, apply for a apple card. They pull transunion. They also use the 98 scoring model.

Vantage score is a service. Not the actual scoring model. Very few select banks opt for this.
 
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#23
#23
Obsessed said:
Incorrect again.


Vantage score is experian driven.


To prove it, apply for a apple card. They pull transunion. They also use the 98 scoring model.

Vantage score is a service. Not the actual scoring model. Very few select banks opt for this.
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No, it's not. Look it up.
 
#24
#24
GoBigOrangeUT said:
No, it's not. Look it up.
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Lol


I guess you have no idea what I do ( on the side)

Let's discuss the fcra laws first...

Vantage is a third party scoring system. Vantage is based of experian scoring models.

Fico is equifax. Transunion is its own.
 
#25
#25
Obsessed said:
Lol


I guess you have no idea what I do ( on the side)

Let's discuss the fcra laws first...

Vantage is a third party scoring system. Vantage is based of experian scoring models.

Fico is equifax. Transunion is its own.
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From Wikipedia: Vantage score is a credit rating product from all three credit agencies: Equifax, Transunion, and experian. It was created in 2006 to compete with the FICO score.

Really, just a simple google told me that.
 
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