[Fred93]

This image appeared recently in the WSJ. 

What do you think about this?  Does it show that US borrowers have all been getting a lot better during the last 8 years?  Or does it show that FICO scores have been inflating for the last 8 years?

I believe it is some of each.  The chart starts at the time of the financial crisis, when lots of people were having some trouble, and just about everything has gotten better since then.  However, we know that there was some difficulty in borrower-land in 2015/6 because we saw huge dips in performance of LC and Prosper loans, and also dips in performance of subprime auto loans.  That certainly is not indicated here.

[Rob L]

Wonder how that correlates to the S&P 500?
Not that it should but it certainly appears to do just that.
Also probably correlates well with student debt.
I'll admit I haven't done the math.

[yojoakak]

Is 15 points a big change?

Can you replot it so the Y-axis starts at 0?

[TravelingPennies]

Another overhaul in store (the UltraFICO Score):

https://seekingalpha.com/news/3399530-fico-plans-big-change-credit-scores?ifp=0

[TravelingPennies]

from: Rob L on October 23, 2018, 09:07:02 AM

[bobeubanks]

from: yojoakak on October 23, 2018, 04:55:53 AM

[rawraw]

I don't think this is a big deal. There are too many variables and I'm not confident I understand what the chart is measuring.

[Birdsing]

from: bobeubanks on October 25, 2018, 01:13:27 AM

[Edward Reid]

from: Birdsing on January 03, 2019, 10:50:51 AM