On the heels of FICO renewing an agreement with TransUnion, the predictive analytics and decision management software company announced this week that FICO Score 9 is available now at Experian for U.S. credit grantors to use for testing and validation.

FICO said the product will be available in full production in April. Officials highlighted FICO Score 9 features analytic enhancements that have increased the score’s predictive power, enabling finance companies to approve millions more consumers in the same score ranges, expanding lending at the same level of risk.

The company went on to explain this new version of the FICO Score introduces a more nuanced way to assess collection information that appears on a consumer's credit report, bypassing paid collection agency accounts and differentiating medical from non-medical collection agency accounts. FICO indicated this capability can help to ensure that medical collections have a lower impact on the FICO Score, commensurate with the credit risk they represent.

Jim Wehmann, executive vice president of scores for FICO, emphasized that the company’s credit analytics make FICO Score 9 more predictive of a consumer’s likelihood to repay debts than other credit scores.

Wehmann added that FICO Score 9 also represents a significant step forward in the assessment of consumers with limited credit histories — so-called "thin files." This development can help finance companies safely grow their lending portfolios.

“FICO Score 9 reaffirms our position as the clear leader in consumer credit scoring and risk management,” Wehmann said. “Our scores are used by 90 percent of the top lenders in the U.S. because they trust the FICO Score to help them manage risk and optimize credit decisions.

“Credit grantors that use FICO Score 9 are advancing their ability to create profitable, responsible growth. We are thrilled that FICO Score 9 is now available at all three major U.S. credit bureaus,” he went on to say.

FICO Score 9 will be followed by industry-specific FICO Scores, which will start becoming available in spring.

To learn more about FICO Score 9, visit www.fico.com/en/campaigns/ficoscore9/.

FICO and TransUnion Renew Agreement to Provide FICO Scores to US Financial Institutions and Businesses

In other company news, FICO renewed multi-year agreement to provide FICO Scores to the U.S. banking community. TransUnion will continue reselling FICO Scores and provide FICO access to its consumer data for the purposes of developing and marketing new analytics that will meet the changing requirements of businesses.

As part of the new agreement, FICO will be able to sell FICO Scores based on TransUnion credit data to lenders and third-party resellers. Consumers will continue to have access to their FICO Score based on TransUnion credit data at www.myfico.com.

FICO Scores based on TransUnion credit data will also be available to consumers through third parties.

“Responsible lending growth requires strong management tools,” Wehmann said. “The FICO Score is a market leader in consumer credit risk assessment.

“Our enduring relationship with TransUnion ensures that we can continue to provide lenders and consumers with powerful tools for understanding credit risk,” he added.