05-18-2011 01:38 PM
So I get a score watch alert today and this is the message that shows up accompanying the score.
Your score of 712 is slightly below the average score of U.S. consumers, though most lenders consider this a good score. Based on your score alone, you might expect the following:
Since when did 712 fall below the avarage score of US consumers. I've heard that it is somewhere around 690 and given the current economic situation would expect it to be much lower than that.
05-23-2011 12:58 PM
The median FICO is 723.
05-23-2011 05:04 PM - edited 05-23-2011 05:04 PM
Good question. Answering that question begs the question of who retains a broad database of current credit scores that would enable them to compute nationwide averages or medians?
Fair Isaac develops and licenses the algorithms for credit scoring, but as far as I know, does not maintain a database of all scores generated by users of their algorithms. The actual scoring is not done by Fair Isaac, it is done by the holders of the consumer databases (i.e., the CRAs) using their licensed FICO algorithms. I am not aware of whether Fair Isaac has broad feedback on the actual scores produced. The separate CRAs dont have access to each others databases, so I doubt that they share scores in any central location.
So it also puzzles me as to who has the database of information necessary to generate nationwide averages. Maybe that explains the broad discrepancies in the averages stated by different parties.