Bank of America Corp (BAC), Fair Isaac Corporation (FICO): Improve Credit Score Transparency or Risk Another Financial Crisis

Perhaps most important, keeping score calculations secret and relying on the credit-reporting bureaus to act as guardians of credit ratings puts a huge amount of responsibility on their shoulders. With many documented cases of erroneous credit-history information being used to calculate these scores, it’s naive to take on faith that the resulting scores are correct — yet there’s currently no way to see exactly how an erroneous piece of information actually has a direct impact on your credit score.

Don’t give up
A decade ago, having free access to a credit report seemed like a pipe dream, yet legislation now makes such disclosures mandatory on an annual basis. With the same drive and determination, consumers can demand that credit-reporting agencies improve credit score transparency to the point at which everyone will understand the ins and outs of the key financial metrics governing their financial lives.

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The article Improve Credit Score Transparency or Risk Another Financial Crisis originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger owns warrants on Bank of America Corp (NYSE:BAC) and Wells Fargo & Co (NYSE:WFC). The Motley Fool recommends Bank of America and Wells Fargo. The Motley Fool owns shares of Bank of America, Citigroup Inc. (NYSE:C), and Wells Fargo.

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