Valued Member
algorithmslave
Posts: 68
Registered: ‎09-10-2012
Re: Somethings you might not know about how FICO is calculated

I would argue age is worked into the score. How this is achieved is through ones oldest account. Now, perhaps this is an indication of when one first obtained credit but nonetheless it does indicate a possible age group of the individual being scored. Stands to reason someone from the Baby Boomer Generation has older accounts than that of someone from Generation X...This may not prove age but does indicate a portion of ones demographics and age group. 

You can wrap me in your flag, make me say a praise to your creator and make me spend your currency, but remember this, I am a loyal servant to Justice and a Patriot to none. I am free...
Established Contributor
cashnocredit
Posts: 1,037
Registered: ‎07-18-2009
Re: Somethings you might not know about how FICO is calculated

ilovepizza wrote:
I wonder how many people in other score systems (like auto) that base risk information take in to account that people like me do things to improve their scores? My FICO score went up a lot, and my auto risk score went way down. I was only applying for credit to improve my score, while they say people that apply for credit are higher auto risks? Sometimes I would like it if they would just score each of us alone rather than in a group. I don't really fit in and get burned by it.

I've noticed that my auto insurance risk score was extremely sensitive to recent Inqs.  Much more so than a new loc. I have also seen these scores go in opposite directions as a result.

I have reestablished credit over the last couple years
so my moniker is, well, rather out of date.

WM Discover $1800, WF Plat 12k, Chase Freedom Siggy15k, Amex Plat (60k H/B), Citi AA EWMC 25k
Established Contributor
compassion101
Posts: 646
Registered: ‎06-06-2012
Re: Somethings you might not know about how FICO is calculated

algorithmslave wrote:

I would argue age is worked into the score. How this is achieved is through ones oldest account. Now, perhaps this is an indication of when one first obtained credit but nonetheless it does indicate a possible age group of the individual being scored. Stands to reason someone from the Baby Boomer Generation has older accounts than that of someone from Generation X...This may not prove age but does indicate a portion of ones demographics and age group. 


Age of accounts is a large part of the score. Age of the Human Being is not. While an older Human is obviously more likely to have older accounts reporting, this isn't always the case, and when it isn't, the age of the person does not have any affect on the score.