Engineer Bill Flair and Mathematician Earl Isaac founded the Fair Isaac Corporation (FICO) in 1956. The company provides analytics and tools to manage among other things, risk, fraud, and customer relations and help uphold strict financial laws and regulations in place. The FICO Company is widely known for its FICO credit score, which is the standard measure of consumer credit risk. The information provided allows users to know and summarize your credit health. FICO boasts of a worldwide market, with physical offices in many major cities in the world, serving all the industries through its diverse functions.
Debt has become the preferred form of capital at the expense of equity, due to scarcity of available resources. As a result, companies and individuals turn to credit providers who in turn require a person’s credit history before consideration for credit. FICO perfectly serves this niche by providing reliable measure of credit health, through issuance of FICO credit report and FICO credit score.
Fico score meaning
The FICO credit score scale ranges from 300 - 850, representing the weakest and strongest credit measure respectively, based on your credit history. The FICO score is what determines whether or not you will be approved for credit. Different FICO credit scores attract different credit terms and interest rates. To properly serve the interests of all parties involved, the FICO Company provides information on credit matters, current financial trends and for the FICO score explanations, manuals and tutorials.
Different credit scores are explained differently. A FICO credit score of 300 is the lowest possible score, which shows bad credit worthiness and cannot get you approved or considered for any credit whatsoever. Continuous defaulted payments and not using credit result to a bad credit score at the end.
Maximum fico score
600 stands as the average FICO credit score, at which you can be approved for credit even if not with the best terms and low interest rates. Slightly above this, 700 is considered as a good FICO credit score; you can easily be approved for various forms of credit from different credit providers at considerable terms and interest rates.
A FICO credit score of 720 is regarded as the best credit score in the FICO score scale. With the best credit score, you will easily and quickly get approved for any credit, get the best credit terms in the market, not to mention the lowest interest rates prevailing. At the highest extreme end of the FICO credit score scale, 850 is the maximum possible credit score. It comes with prestige and bragging rights in addition to the very best terms and lowest interest rates there can exist. It is very hard to achieve this score, and thus, very few people if any have it.
Free fico credit report
There are other credit reporting agencies in the market but most of them rely on FICO information to set their standards. As per the federal laws in place, you are entitled to a free FICO credit report annually, showing your FICO score rating. The report is sent to you through your preferred communication channel as entered during registration. You are supposed to check and affirm that all the information in the credit report is correct and up to date.
A fee is charged for any other credit report requested apart from the one annual credit report, which is free. Most financial institutions in the world over help and allow their customers get their FICO scores without much hustle, even if the customer is not registered with the FICO Company directly. This is because of the strong bonds and relationships created and maintained between the FICO company and these institutions over time.
The FICO Company has a track record dating way back to 1956, proving its competence in matters credit, by providing FICO credit scores to its customers. In matters credit, you can never go wrong with the FICO Company.