Consumers lose access to FICO scores from Experian
Questions & Answers
What is changing about consumers' access to their FICO scores?
Experian has notified Fair Isaac of its intention to terminate its relationship with Fair Isaac's consumer portal www.myFICO.com, effective February 14, 2009. For consumers this is significant because myFICO.com has offered them the only way to see or manage their FICO scores based on Experian data — the same FICO scores that Experian sells to lenders. myFICO.com will continue to provide consumers with FICO scores based on data from Equifax and TransUnion.
When did Experian notify Fair Isaac of this change?
On January 15, 2009.
Will Experian continue selling FICO scores to lenders?
Yes. Experian recently extended its contract with Fair Isaac to continue calculating and selling FICO scores to lenders and other businesses.
How long have consumers had access to FICO scores calculated by Experian?
For almost six years. Experian first allowed www.myFICO.com to provide FICO scores besed on Experian data to consumers in June 2003.
How long have lenders bought FICO scores from Experian?
For about 18 years. Experian first began using Fair Isaac's FICO scoring formula to calculate and sell FICO scores to lenders in 1991.
How will this change affect consumers?
Experian's decision means that consumers will no longer be able to see or manage their FICO scores based on Experian credit data. The FICO score is the credit risk score used by most lenders in the U.S. The ability to know and manage one's FICO score provides genuine financial transparency for consumers and has become an essential part of consumer empowerment.
What myFICO.com products will be affected?
Currently three myFICO products include FICO scores and credit reports based on Experian data:
- Suze Orman's FICO Kit
- FICO Credit Complete (all three FICO scores and underlying credit reports)
- FICO Standard (FICO score and underlying credit report from any one consumer reporting agency)
What will happen to those myFICO.com products?
Both FICO Standard and Suze Orman's FICO Kit will remain available to consumers with access to FICO scores and credit reports from Equifax or TransUnion, at the consumer's option. After February 13, 2009 myFICO.com will no longer offer FICO Credit Complete.
Does Experian offer the FICO score to consumers through its own website?
No. Experian offers its own scores to consumers, but it does not provide FICO credit scores.
Why do consumers need to see FICO scores from all three credit bureaus? Aren't two scores enough?
For a couple of reasons, consumers should have access to all three FICO scores:
- Data differences — Experian, Equifax and TransUnion each collect different information about your credit history. Since your FICO score is calculated from that information, it usually is a little different at each agency. Or it can be a lot different, depending on the information collected by the agency. Looking at your credit report alone, you can't tell how data differences will affect your FICO score. You need to see the score itself.
- Incomplete picture — Lenders usually tap only one consumer reporting agency, except in the case of mortgage lenders. So without access to all three FICO scores, you have at best an incomplete picture of your credit standing.
Most mortgage lenders look at all three of your FICO scores and may give special attention to your lowest score. If you can't see all three scores, you can't know which one is lowest. That makes managing your credit standing more difficult.
Will this potentially change the role of www.myFICO.com?
Fair Isaac remains committed to empowering consumers with information. Our aim is to make FICO scores and information about how to manage one's credit ubiquitous. We want to help consumers make credit management an everyday occurrence, much like cash management is for most people. By providing them with the same scores that lenders use, we think consumers have strong reasons to continue visiting www.myFICO.com.