CCP FICO & D&B Rating Models 3

Question 1

Under FICO Score 9, which change was made compared to FICO Score 8 regarding medical debt?

Accepted Answer

Paid medical collections no longer negatively impact the score

Answer

FICO Score 9 reduces the negative impact of medical collections and ignores paid medical collection accounts.

Question 2

A business has no D&B PAYDEX score. What is the most likely reason?

Accepted Answer

D&B has fewer than 3 payment experiences on file

Answer

D&B requires a minimum of three payment experiences reported by trade references to generate a PAYDEX score.

Question 3

Which of the following best describes the D&B Delinquency Predictor Score?

Accepted Answer

Predicts likelihood of severely delinquent payment over the next 12 months

Answer

The D&B Delinquency Predictor Score forecasts the probability that a business will become severely delinquent on payments within 12 months.

Question 4

FICO Score 10T introduced 'trended data.' What does trended data capture?

Accepted Answer

The directional movement of balances and payments over 24 months

Answer

Trended data shows whether balances are rising or falling over the past 24 months, distinguishing transactors from revolvers.

Question 5

When a creditor performs a 'soft inquiry' on a FICO score, what is the impact?

Accepted Answer

There is no impact on the FICO score

Answer

Soft inquiries — such as pre-approval checks or account monitoring — do not affect the FICO score in any way.

(CCP) Certified Credit Professional Practice Test