Who controls the Scoring??

[RobertEG]

It is a somewhat complicated cross-licensing system.

FICO has the algorithms, and the CRAs have the data.  They must, thus, feed on each other to complete the process of producing a FICO score.

Fair Isaac licenses the use of its algorithms to each CRA, and in return, recieves a fee for each CR the CRA produces from their algorithms.  The CRA decides who they will sell the FICO scores to.  FICO had a cross-licensing agreement to purchase scores back from the CRAs and then sell them on their consumer myFICO site.

Ex simply cancelled the second part of the process, deciding to no longer sell their product back to Fair Isaac.  They must have determined that would make their FICO generated scores more profitable if they were only obtainable through their own clients, and not direclty to consumers through the myFICO consumer site.

[haulingthescoreup]

I have one thought bubble to offer, which I'm sure that no one will really want to accept.

WE control the scoring.

That is in the sense that scoring is done on our credit reports, and our credit reports are the summary of how we have handled our credit up to this point in time.

So in the end, the scores are a result of a FICO formula applied to the info on our CRA reports, and they occur in accordance with a legal agreement between FICO and the individual bureaus. But as long as our behavior influences what shows up on our reports, I will argue that we control the scoring.

* goes to hide under the dining room table *

But it is a very valid question as to how the scores come about in the first place.

eta: cna't splel