FICO® Score 10 T early adoption benefits and strategies

In this roundtable discussion, Michael Crockett (Xactus), Amber Christman, Alyson Finn and Lance Braun (FICO) discuss the pathway to FICO Score 10 T migration and the myriad benefits lenders and portfolio managers will realize by leveraging the trended data incorporated in FICO’s latest and most predictive score that also preserves the proven and trusted minimum FICO Score criteria. 

• FICO® Score 10 T has been validated and approved by the FHFA (Federal Housing Finance Agency) for use by Fannie Mae and Freddie Mac, the two government-sponsored enterprises (GSEs) that guarantee most of the mortgages in the US
• Leveraging FICO® Score 10 T trended data provides deeper insights into borrower history to potentially grow the pool of qualified mortgage applicants while reducing risk to portfolios
• FICO® Score 10 T can expand mortgage approval rates by up to 5% relative to versions of FICO Score most commonly in use today, without adding incremental risk
• FICO® Score 10 T provides predictive lift over all previous versions of the FICO® Score, with distributions very consistent with prior models by up to 5%, relative to versions most commonly in use today.