FICO CEO Discusses Alternative Data Credit Score (Video)

Earlier this month, FICO shared details of pilot program research showing that alternative data can be used to reliably score millions of consumers who do not have enough traditional credit data to generate credit scores. On Fox Business News, FICO CEO William Lansing discusses a new FICO® Score based on alternative data and what that means for unbanked and under-banked consumers.

When asked about lenders lowering credit criteria, Lansing explains: “The goal is not to lower the standards. The goal is to identify would-be borrowers who meet our standard, but they meet it by using different data than we’ve traditionally used.”