FICO Score XD is a credit risk score for "unscoreables."

Product Overview

Consumers with little to no traditional credit files are often avoided by card issuers. The risk associated with the unknown is just too high. Yet, the opportunity associated with this consumer group—estimated at well over 50 million Americans —is tremendous. Understanding the risk with reliable insight is the key to breaking ground in this vast, largely untapped prospect audience. FICO® Score XD, developed in partnership with Equifax® and LexisNexis® Risk Solutions, can help. It provides a valuable extension to traditional credit scores to help determine the risk associated with individuals who lack sufficient credit history. FICO® Score XD can help you pinpoint and target creditworthy prospects out of a previously “unscoreable” audience so you can securely grow your consumer portfolio. The power behind FICO® Score XD is fueled by multiple sources of alternative data.

 In addition to property and public record information and traditional credit data, the score includes positive and negative account payment data from the National Consumer Telecom and Utilities Exchange, Inc. (NCTUE®), exclusively managed by Equifax. Specifically, NCTUE® data includes payment
history for bills pertaining to pay TV, utilities, telecommunications and more. Knowing how consumers pay these “everyday bills”—which are generally not included in the traditional credit file—has proven to be highly predictive of their future account performance. With both positive and negative payment data reported, unique information is provided that is not often available within traditional credit files or often is negative only data. This additional layer of data can help be an effective gauge of future credit risk.

By supplementing a traditional credit score used by lenders with FICO® Score XD, you can improve your ability to predict consumer account performance and:

  • More reliably assess risk on credit applicants who can’t be scored using a traditional credit-based risk score
  • Help safely approve more borrowers for card offers, specifically low risk borrowers traditionally underserved and underbanked
  • Help drive additional revenue without increased loss rates
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