Annual model validation results for 2015 demonstrate that the VantageScore 3.0 credit scoring model remains a highly effective consumer credit risk management tool, strong in all three performance dimensions relevant to lenders today: predictive accuracy, universe expansion, and consistency.
VantageScore Solutions validates all its credit scoring models annually and publishes the results on its website, www.VantageScore.com. This process promotes greater transparency in the credit scoring industry and assists financial institutions with model governance. The importance of model validations is underscored by guidance issued by the Office of the Comptroller of the Currency (OCC) in 2011, which advises industry participants who rely on modeling and analytics for making financial decisions to develop robust validation procedures.
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