FICO to license scores directly to lenders skipping credit bureaus

Industry Dynamics - FICO is now directly licensing its credit scores to lenders, bypassing credit bureaus [2] - Credit bureaus like TransUnion, Equifax, and Experian are experiencing stock pressure due to FICO's move [1][2] - FICO scores are utilized by 90% of lenders [2] Pricing and Fees - FICO will charge $4.95 per credit score, a 50% reduction compared to the merged system of the three credit bureaus [3] - FICO charges $33 when the loan closes [3] Regulatory Response - FHFA Director Bill Py expressed initial dissatisfaction with FICO and credit bureau pricing [3] - Py acknowledged FICO's decision as a positive first step and encouraged similar actions from credit bureaus [4]