FICO & Loan Servicing



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Underwriting models example

  • Risk Low: FICO 800 > 1% PD

  • Risk Medium: FICO 675 > 8.9% PD

  • Risk high: FICO 499 > 41% PD

Loan Servicing vs PD

  • Pricing challenge <> High charge-off

  • PD decreased <> PD increased


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