FICO Explainer
Detailed breakdown of FICO score versions and their weights. For a deep-dive into the company that designs these models, see our analysis of Fair Isaac Corporation (FICO) under Economy.
Detailed breakdown of FICO score versions and their weights. For a deep-dive into the company that designs these models, see our analysis of Fair Isaac Corporation (FICO) under Economy.
The Fair Isaac Corporation (NYSE: FICO) is the single most influential private entity in the U.S. consumer credit market. While often mistaken for a government agency or a regulator, FICO is a publicly traded data analytics company that provides the “mathematical plumbing” for the global financial system.
FICO’s primary product is the FICO Score, which is used by 90% of top lenders in the United States. This effective monopoly makes Fair Isaac a critical piece of economic infrastructure:
When Fair Isaac releases a new model (like FICO 10 or 10T), it creates a structural shift in how credit is issued across the country. We track these shifts as part of our broader analysis of Monetary Policy and Market Liquidity.