Credit Data and Scoring: The First Triumph of Big Data and Big Algorithms illuminates the often-hidden practice of predicting an individual’s economic responsibility. Written by a leading practitioner, it examines the international implications of US leadership in credit scoring and what other countries have learned from it in building their own systems. Through its comprehensive contemporary perspective, the book also explores how algorithms and big data are driving the future of credit scoring. By revealing a new big picture and data comparisons, it delivers useful insights into legal, regulatory and data manipulation.
1. Cover image - p. i 2. Title page - p. ii 3. Table of Contents - p. iii 4. Copyright - p. iv 5. Preface - p. ix 6. Chapter One. I used to have a reputation. Now I have a score. - p. 1 7. Chapter Two. The credit industry in the United States - p. 9 8. Chapter Three. My credit report—some of it is right - p. 17 9. Chapter Four. Credit reporting agencies: playing the long game - p. 27 10. Chapter Five. Data errors to keep money renters happy - p. 37 11. Chapter Six. Historic complaints about credit accuracy - p. 43 12. Chapter Seven. Differences in data between credit reporting agencies - p. 51 13. Chapter Eight. Can credit errors be fixed? Probably not - p. 57 14. Chapter nine. The mystery of credit scores - p. 65 15. Chapter Ten. Making a credit score: it starts with data - p. 77 16. Chapter Eleven. Picking the Y variable, picking the X variables - p. 87 17. Chapter Twelve. Calculating weight of evidence and information value - p. 99 18. Chapter Thirteen. Regressions - p. 105 19. Chapter Fourteen. Getting a sensible model - p. 111 20. Chapter Fifteen. Credit scores on the same borrower differ between CRAs - p. 119 21. Chapter Sixteen. The credit industry outside the United States - p. 127 22. Chapter Seventeen. List of practices by country - p. 133 23. Chapter Eighteen. Data security - p. 173 24. Chapter Nineteen. Algorithms and individuals - p. 183 25. Chapter Twenty. Something like a conclusion - p. 191 26. Appendix 1. U.S. (and a little bit of European) law - p. 197 27. Appendix 2. Final rule on credit scores from FHFA - p. 209 28. Appendix 3. Attachment: My credit report - p. 217 29. Appendix 4. A summary of your rights under the Fair Credit Reporting Act - p. 247 30. Appendix 5. Your rights under State law - p. 253 31. Index - p. 257
Credit Data and Scoring: The First Triumph of Big Data and Big Algorithms illuminates the often-hidden practice of predicting an individual’s economic responsibility. Written by a leading practitioner, it examines the international implications of US leadership in credit scoring and what other countries have learned from it in building their own systems. Through its comprehensive contemporary perspective, the book also explores how algorithms and big data are driving the future of credit scoring. By revealing a new big picture and data comparisons, it delivers useful insights into legal, regulatory and data manipulation.
1. Cover image - p. i 2. Title page - p. ii 3. Table of Contents - p. iii 4. Copyright - p. iv 5. Preface - p. ix 6. Chapter One. I used to have a reputation. Now I have a score. - p. 1 7. Chapter Two. The credit industry in the United States - p. 9 8. Chapter Three. My credit report—some of it is right - p. 17 9. Chapter Four. Credit reporting agencies: playing the long game - p. 27 10. Chapter Five. Data errors to keep money renters happy - p. 37 11. Chapter Six. Historic complaints about credit accuracy - p. 43 12. Chapter Seven. Differences in data between credit reporting agencies - p. 51 13. Chapter Eight. Can credit errors be fixed? Probably not - p. 57 14. Chapter nine. The mystery of credit scores - p. 65 15. Chapter Ten. Making a credit score: it starts with data - p. 77 16. Chapter Eleven. Picking the Y variable, picking the X variables - p. 87 17. Chapter Twelve. Calculating weight of evidence and information value - p. 99 18. Chapter Thirteen. Regressions - p. 105 19. Chapter Fourteen. Getting a sensible model - p. 111 20. Chapter Fifteen. Credit scores on the same borrower differ between CRAs - p. 119 21. Chapter Sixteen. The credit industry outside the United States - p. 127 22. Chapter Seventeen. List of practices by country - p. 133 23. Chapter Eighteen. Data security - p. 173 24. Chapter Nineteen. Algorithms and individuals - p. 183 25. Chapter Twenty. Something like a conclusion - p. 191 26. Appendix 1. U.S. (and a little bit of European) law - p. 197 27. Appendix 2. Final rule on credit scores from FHFA - p. 209 28. Appendix 3. Attachment: My credit report - p. 217 29. Appendix 4. A summary of your rights under the Fair Credit Reporting Act - p. 247 30. Appendix 5. Your rights under State law - p. 253 31. Index - p. 257
