In detail
The FICO Score 8 is a credit scoring model developed by Fair Isaac Corporation. It is one of several versions of the FICO score that lenders may use when evaluating a consumer's credit risk. The model takes information from a consumer's credit report and produces a three-digit number that represents the relative likelihood of repaying debt as agreed. FICO Score 8 is often described as a base FICO score because it is not tailored to a specific industry, unlike some other FICO score versions. The FICO Score 8 model considers several categories of information from a credit report. These include payment history, the amounts owed on accounts, the length of credit history, recent credit inquiries and newly opened accounts, and the mix of credit types. The model does not use information such as race, religion, national origin, sex, marital status, or age, nor does it use any information not found in a credit report. The resulting score is calculated at the time a lender requests it, and it can differ from scores generated by other FICO versions or by other scoring companies. Lenders may use FICO Score 8 in decisions about credit cards, auto loans, mortgages, and other types of credit. Some lenders use newer FICO score versions, while others use older ones. The choice of scoring model is up to the lender. Because the FICO Score 8 is a proprietary model, its exact formula is not publicly disclosed. Consumers can obtain their FICO Score 8 from certain sources, though the score a lender sees may differ depending on the credit reporting company and the specific data in the consumer's file. Federal law, such as the Fair Credit Reporting Act, governs how credit reporting companies handle consumer data.