Which lenders actually use the FICO scoring model?

[MattH]

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@haulingthescoreup wrote:
...The problem is, there are many different FICO scoring formulas. Different lenders pull different versions. I think that the Alliant version is the otherwise-didn't-really-go-anywhere Equifax FICO NextGen score. As it says, it focuses much more on the most recent 24 months of credit behavior. For whatever reason, Alliant must think that it's a better predictor of credit risk for its customers.
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But when it comes to Equifax FICO scores, the Beacon 5.0 model used here is much, much more common.
...The scores available here are the ones used by mortgage lenders, because they are generally the scores used by other lenders as well who use FICO scores. Even then, there are three different FICO scoring formulas --one for Equifax, one for TransUnion, and one for Experian. The different scores don't just result from the different reports. That's why you'll read that Equifax "hates lates", and TransUnion "likes 0 accounts with balances" (which is true for a certain score range, but not others.)

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I have read that big lenders will sometimes do a "bake off" comparison of scoring models: randomly assign N customers/applicants to each model being considered (current model versus one or more alternatives) and compare the results.  Usually they want to see a substantial benefit before they will switch, because changing a key business process has associated costs and risks.

[haulingthescoreup]

Sure, not only is it expensive to switch, but if the new formula doesn't predict risk of default as well as the previous one, it becomes more expensive that way as well, due to higher losses.

Banks are validating different credit scoring formulas all the time. I'm sure they're doing so with Vantage score as well, plus their home-grown attempts.

OP, it's like any other purchase these days. In many cases, there are just too many options to completely research. We're all suffering from data overload in which the data too rarely turns into information.

There was a list like what you described --whogavemecredit-dot-com. It's an unbelievable mess, though, because it took a lot of time to try to maintain, people kept listing incorrect info, and eventually the site owner had to take ads, and it quickly turned into a septic tank. There are other lists out there, but they're not very reliable, often because those who contribute info didn't know or didn't care about which report was really pulled and so forth.

Hope you're feeling OK this morning!

[Itsmeagain]

(GROAN) . . . . . FICO Gods never answered . . . . go figger.

But, thanks to all for the responses.  I'm convinced there is no one-size-fits-all solution.  I will just endeavor to require full discllosure of the scoring model being used before applying for new credit (which I am planning to avoid, at least until my AAoA is 3+ years).