In the United States of America a credit score is a number that represents the likelihood that this particular person will pay his/her debts. All lenders use this number (score) to evaluate the potential risk posed by lending money to their custumers.
Credit Scoring Models
There are 3 main credit score models:
- FICO score – the best known and most widely used
- NextGen score – Launched in 2004 by FICO company
- VantageScore – Launched in 2006
More information about these credit scores you will find here
