Aaron Pisacane is taking his 26 years of experience in private student loans, including recently as Chief Credit Officer of the largest student loan lender, to help hardworking students pay for college. His new company exists to modernize the underwriting process of private student loans.
Wall Street Journal: FICO Score's Hold on Credit Market is Slipping
WSJ, July 24, 2021, by AnnaMaria Andriotis
The factors that account for big lenders moving away from FICO include
(1) Many lenders review new data ('alternative data') and use their own proprietary scores that better predict who will repay and who will not repay.
(2) Key regulators are encouraging banks to de-emphasize credit scores in an effort to expand access to affordable credit. Fannie Mae and Freddie Mac are considering allowing lenders to use other scores for mortgage applicants.
Regulators are Concerned that FICO Leaves Too Many Americans Behind
By looking at the accomplishments of college students and other relevant risk factors, access to credit is opened up at acceptable interest rates to students and acceptable risk levels to lenders. Einstein Higher Edu Solutions seeks to be a catalyst to society by powering diversity and inclusion in our economic system.
Don’t let your traditional underwriting models remain obstacles to hardworking students in realizing their dreams. Visit our website to learn how Einstein Higher Edu Solutions can help you.