Re: FICO score vs fiscal responsibility.

Daniel T. wrote:
> I think that since FICO has come up, it is wise to point out that a 
> higher FICO is not necessarily a sign of fiscal responsibility.
snip
> Comments? Does my *****sment seem accurate.

As I posted, FICO takes data points and little more. In your Bert and 
Ernie example, (Are those the Muppets or the policeman and cabbie from 
"it's a Wonderful Life?" Just curious.) Fico sees the loan, but the not 
the car purchased with cash.
Think about one thing - if one keeps opening new accounts, over time 
it's possible to be in over their head, yet keep the ratios right in 
line to fall into the good score. So your conclusion regarding fiscal 
responsibility may be accurate. The scores correlate to the rate of 
non-payment. For every statistic citing smoking causes early death, 
there's a George Burns who smoked cigars yet lived to 100. It's not hard 
wired, just a correlation.

Joe

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