I have been getting questions from some of my loyal readers about the changes that Fair Isaac has made to their credit scoring algorithm.
I cover it in detail here, click the link below:
Stay Tuned…
Your Credit Insider
Mark
Holy Cow! As if the the current credit crisis wasn’t enough to keep you up at night worrying about your financial future, Experian just announced a MAJOR blow to the American public and it is not a good thing at all!
Starting February 14, 2009 Experian has announced that they will no longer all you to purchase your FICO Credit Scores. As most all of my students and loyal readers of this blog know, having the ability to purchase all three of your credit scores is absolutely critical to you knowing where you stand with regards to approval of a loan and at what rate. Now Experian wants to take away that access to info so that you will only know what your scores is when the lender actually pulls your credit for the application.
Does this sound at all like a conspiracy to you??? Well, if I don’t know what my scores are before I generate an inquiry, how do I know if I will be approved? Also, how will I know what rate I qualify for? I will have to take the word of the lending institution as to what my credit score was.
In 9 days we will no longer be able to see the same information that lenders see. While you can, you should go purchase all three of your FICO credit scores to see where you stand as of today.
Here is the link…
Unless something major happens, this will be the last time you have the right to purchase all three of your FICO scores and arm yourself with the knowledge of YOUR credit reports. For some reason, Experian doesn’t think that you should have that right.
Matter of fact, our FICO scores were hidden from us once before. Back in 2003 we were empowered to see this information. We have enjoyed the ability and freedom to know our real credit scores for almost 6 years. Unfortunately that freedom is about to end.
This means that you won’t know your middle score (the one that almost all mortgage lenders look at when they pull your credit scores to determine approval and at what interest rate) and will be in the dark as to if you qualify and for how much. We all will be flying blind with most major credit purchases, especially mortgage approval for purchase, refinance, etc.
THIS IS NOT GOOD NEWS FOR ANY OF US!
I am recommending that all of my students and readers call Experian’s media relations department directly at 714.830.5300 and share your thoughts and commentary with them. Leave a message if you don’t get a live person on the phone.
Here is the official news release from Fair Isaac (FICO)
“Fair Isaac has long been committed to empowering consumers with information. Besides helping consumers understand and manage their credit profiles, we believe that consumers are entitled to know their FICO scores from all three major credit bureaus, since these are the scores lenders use to make credit decisions.
“We were recently notified that, effective February 14th, Experian will no longer allow consumers to view their FICO scores based upon Experian data. FICO scores from Equifax and Trans Union will continue to be available on MyFico.com”
So my friends, once again we must be vigilant in protecting our rights to know our credit scores and make sure that those housing that information are accurate and up to date!
