FICO scores are calculated and provided by a company called Fair, Isaac & Co. The company
has statistically analyzed credit histories of a large number of borrowers, and has used
those analyses to predict which factors in a person's credit history may indicate future
inability to repay debts.
The specific factors that are used, and how they are used, are proprietary to Fair Isaac and
are not known. However, they are prohibited by law from including factors that would be
discriminatory (e.g. race, religion, gender). Factors that may be used to determine your
FICO score include:
- The amount of credit you have outstanding;
- how you have paid it back;
- any problems with credit you may have had in the past (e.g. late payments,
bankruptcies); and
- other factors.
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