Market Dynamics - FICO's shares are surging, while credit bureaus are experiencing pressure [1] - FICO is now licensing its scores directly to lenders, bypassing credit bureaus [2] - Credit bureaus like TransUnion, Equifax, and Experian are facing stock hits due to disintermediation [2] - 90% of lenders use FICO scores [2] Pricing and Fees - FICO will charge $4.95 per credit score, a 50% reduction compared to the credit bureaus' merged system [3] - FICO charges $33 when the loan closes [3] Regulatory Response - FHFA Director Bill Py expressed dissatisfaction with FICO and credit bureau pricing [3] - Bill Py initiated a full-scale review of the credit bureaus [4] - Bill Py acknowledged FICO's decision as a positive first step and encouraged similar actions from credit bureaus [4]
FICO to license scores directly to lenders skipping credit bureaus
CNBC Television·2025-10-02 15:14