How Machine Learning is Revolutionizing Credit Scoring in 2026
Summary
Machine learning is transforming credit scoring by analyzing thousands of variables beyond traditional FICO factors, expanding credit access while maintaining accuracy.
Machine learning models are transforming how lenders assess creditworthiness. Traditional FICO scores relied on limited data points, but modern ML algorithms can analyze thousands of variables to provide more accurate risk assessments. Companies like Upstart and Zest AI are leading this transformation, showing that alternative data sources can help expand credit access while maintaining or improving default rates.
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