Fair Isaac Holds Pricing in Bid to Encourage Lenders to Not Drop FICO Usage -- Market Talk

1056 ET - Fair Isaac held its price of $10 for mortgage lenders to use its FICO score, a move Wells Fargo says could encourage lenders not to drop usage. "We previously expected FICO to raise prices meaningfully in 2027," analysts Jason Haas and Keegan Antico say in a research note. FICO's pricing compares with the roughly $4 it costs for mortgage lenders to pull a credit score using competitor VantageScore, according to the credit bureau TransUnion. Most banks will likely remain slow in their adoption of VS given greater regulatory scrutiny and wanting to adequately test VS delinquency performance, the analysts say. That should alleviate some concern among investors that FICO will lose market share, even though FICO's decision could weigh on EPS. Wells Fargo downgrades FICO to equal weight, and lowers its price target to $735 from $800. FICO sinks 7.8%. (connor.hart@wsj.com)

(END) Dow Jones Newswires

October 26, 2026 10:56 ET (14:56 GMT)