18 December 2017
visit www.avoka.com

Experian Capital Markets adds Fico credit scores to MBS system

04 October 2010  |  3360 views  |  0 Source: Fico

FICO (NYSE:FICO), the leading provider of analytics and decision management technology, today announced that Experian® Capital Markets is adding, as an option, the most advanced FICO® credit score to its CreditHorizonsSM for Securities solution.

Sellers and investors of mortgage-backed securities use Experian's CreditHorizons for Securities to surmount the limitations of loan-level data when analyzing credit risk in mortgage-backed securities. The addition of the FICO Score, branded by Experian® as the Experian/FICO Risk Model, will give RMBS managers, marketers and investors deeper insights for evaluating creditworthiness of the underlying mortgages in non-agency loan pools.

CreditHorizons for Securities is used to improve pricing strategies on the sell side while helping buyers make investment decisions with greater confidence and improve risk management. The FICO Score brings an added dimension of predictive power, enabling users to better assess risks of delinquencies and defaults from securitized mortgages.

Investors benefit from using fresh FICO scores instead of scores calculated when loans were originated, since recently reported changes in borrowers' credit behavior will likely change their credit risk.

"FICO is the dominant provider of credit scoring solutions to the mortgage industry," said Jordan Graham, executive vice president of Scores at FICO. "As an extension of this position, we are excited to offer more comprehensive solutions to support the needs of the secondary market and securitization process for US mortgages. We believe this combination of Experian Capital Markets and FICO solutions will increase investor confidence and make for a more efficiently functioning market."

Comments: (0)

Comment on this story (membership required)

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.aciworldwide.comvisit www.ebaday.comvisit www.atos.net

Top topics

Most viewed Most shared
satelliteRipple completes XRP Lockup
11311 views comments | 3 tweets | 4 linkedin
Banks tap Ethereum smart contracts for MiFID II complianceBanks tap Ethereum smart contracts for MiF...
10380 views comments | 21 tweets | 26 linkedin
Banks and fintech startups join forces on blockchain-based supply chain pilotBanks and fintech startups join forces on...
7820 views comments | 19 tweets | 22 linkedin
Digital banking startup Loot secures £2.2 million seed roundDigital banking startup Loot secures £...
7570 views comments | 5 tweets | 11 linkedin
Nordea takes Open APIs into live productionNordea takes Open APIs into live productio...
7464 views comments | 6 tweets | 26 linkedin

Featured job

Competitive
Germany, Austria or Switzerland

Find your next job