Here & Now Here & Now

Support the news

Credit Scores To Get Boost With New Formula04:16

This article is more than 6 years old.

FICO, the company that creates an important formula for consumer credit reports, says it will stop penalizing people who've missed some payments if that debt has been paid off or settled with a collections agency.

FICO, which was formerly called Fair Isaac Corporation, will also devote less importance to missed payments on medical debt in its formula.

Bloomberg Radio's David Wilson joins Here & Now's Jeremy Hobson to discuss the changes, which could mean higher scores for everyday consumers and lower interest rates for home mortgages or car loans.


This segment aired on August 8, 2014.

Support the news

Support the news