What does FICO stand for?

FICO stands for Fair Isaac Corporation, which is a data analytics company focused on credit scoring services. The term "FICO score" refers to a specific credit score that is widely used by lenders in the United States to determine the creditworthiness of individuals. The company was founded in 1956 and developed the FICO score in the 1980s, creating a standardized metric for assessing credit risk. This score plays a crucial role in the lending process, affecting everything from loan approvals to interest rates. Understanding what FICO stands for is important in personal finance as it helps individuals grasp how credit scores are developed and used in lending decisions.