Fair Isaac Corporation - FICO STOCK NEWS

Recent research by Mercator Advisory Group highlights that 97% of asset-backed securitizations (ABS) utilize FICO® Scores as a key metric for evaluating credit quality across various collateral classes, including auto finance, credit cards, and student loans. The study reveals that over $41.9 billion in receivables were introduced to the market in 1Q2022, emphasizing the score's importance amid rising interest rates and economic uncertainty. The organization also released a white paper discussing the continued relevance of FICO Scores amidst emerging AI scoring models.

The May 2022 report by FICO highlights UK credit card trends amidst rising cost-of-living pressures. Key findings indicate a 6.1% increase in the percentage of payments to balance, reaching 42.06%. Average spending decreased by £7 to £753, while the average balance rose 0.2% to £1,555. Notably, accounts missing one payment increased by 7.4%, highlighting potential financial distress among cardholders. Overall, consumers appear to prioritize credit card repayments despite economic challenges.

FICO's April 2022 report on UK credit card trends reveals early signs of cost-of-living pressure. Average monthly spend reached £760, a 10% increase from March, while average balances rose to £1,554. Notably, there's a 22% year-on-year rise in spending. However, missed payments have seen a slight increase, indicating inflation is impacting some cardholders. The report suggests continued financial prudence among consumers as repayments to balances remain stable.

On June 8, 2022, FICO will host a panel discussion at the National Association of Women Business Owners (NAWBO) Advocacy Days in Washington, DC. The event, part of FICO's 'Score A Better Future' program, aims to educate female entrepreneurs on the significance of credit for business growth. Congresswoman Claudia Tenney will deliver introductory remarks, leading a discussion featuring industry experts. This initiative highlights the importance of financial literacy for women in business, enabling them to better manage their credit and achieve their goals.

FICO recently announced its FICO Score suite's ability to score approximately 232 million U.S. consumers, representing 90% of the credit-eligible population. The suite addresses the needs of around 28 million consumers with minimal credit data and 25 million who are credit invisible. By integrating alternative data sources, FICO can provide scores to over 27 million additional consumers. This approach not only improves credit access but also focuses on segments typically underserved by traditional credit scoring methods, enhancing lender confidence in consumer assessments.

FICO (NYSE: FICO) announced that Brazilian payment network provider Elo has achieved a 30% reduction in fraud for its card issuers using the FICO® Falcon® Fraud Manager. Elo has successfully declined online fraudulent transactions, protecting over 30 issuers across Brazil's financial landscape. The company received the 2022 FICO® Decisions Award for its advancements in fraud management, demonstrating significant improvements in security amidst changing customer behavior during the pandemic.

FICO analyzed UK credit card trends for March 2022, revealing a modest reduction in average card spend by 1.99% and a slight dip in average active balance by 0.54%.

However, the percentage of payments to balance rose by 2.32%, indicating responsible financial behavior amid a cost-of-living crisis. Notably, missed payments increased, with one month in arrears up 16.51% month-on-month. These findings suggest consumers are prioritizing repayments while facing rising inflation pressures.