Cic Credit Joins Fico’s Direct License Initiative

CIC Credit, a provider of verification and credit services for the mortgage industry, said on Tuesday that it will participate in the FICO Mortgage Direct License Program, a new initiative from analytics firm Fair Isaac Corp. (FICO) aimed at streamlining access to credit scores.

The program allows CIC to calculate and distribute FICO Scores directly to customers, offering improved pricing and greater transparency for mortgage lenders, brokers and other industry participants.

CIC said the partnership reflects its efforts to deliver more cost-efficient tools for lenders and help to modernize credit infrastructure across the $12 trillion U.S. mortgage market.

“At CIC Credit, we are excited to offer our lender partners the new direct-licensing option for FICO Scores alongside our traditional delivery methods,” Mike Thomas, chief operating officer of CIC Credit, said in a statement. “This expansion enhances our role as a trusted provider of the FICO Score Mortgage Simulator and empowers lenders with greater flexibility and choice in how they access and implement the industry-standard score.”

Julie May, vice president and general manager of B2B Scores at FICO, said the partnership “is an important step in reshaping how FICO Scores are accessed and delivered in mortgage lending.”

“The FICO Mortgage Direct License Program introduces a transparent, cost-effective model that complements traditional delivery methods, ensuring lenders have options that fit their business needs,” May said.

The FICO Score — which FICO claims is used by 90% of top U.S. lenders — is the standard measure of consumer credit risk in the U.S.

The FICO Mortgage Direct License Program, announced at the start of October, lets tri-merge resellers calculate and deliver its scores directly to mortgage lenders, effectively bypassing the three major credit bureaus: Equifax, TransUnion and Experian.

The program comes as competition with VantageScore, owned by the aforementioned three major credit bureaus, intensifies. Its VantageScore 4.0 product will soon be approved for loans bought by Fannie Mae and Freddie Mac as an alternative to the Classic FICO score.

But Federal Housing Finance Agency Director announced via social media on Monday that the agency was “reviewing a potential deal” with FICO to implement its new credit score, FICO 10T.

“This would be great for consumers and the safety of the mortgage market, to have both FICO 10T Score and Vantage Score 4.0. Stay tuned! Very close to a deal,” his post read.