[HN Gopher] Equifax Sent Lenders Inaccurate Credit Scores on Mil...
___________________________________________________________________
Equifax Sent Lenders Inaccurate Credit Scores on Millions of
Consumers
Author : TwoFactor
Score : 22 points
Date : 2022-08-02 19:51 UTC (3 hours ago)
(HTM) web link (www.wsj.com)
(TXT) w3m dump (www.wsj.com)
| hyperman1 wrote:
| I think Equifax is not, or at least not only, in the business of
| scoring the credit worthyness of consumers. Their main business
| might be selling the illusion of trustworthyness.
|
| Banks have to convince themselves that their decisions are
| rational. They have to convince the governement and the public
| that they are not pushing people needlessly in poverty. They
| convince their shareholders and lenders that the money entrusted
| to them is well-managed.
|
| The easy way is to outsource the core decision - and the blame
| for bad decisions- to a third party like Equifax. Equifax does
| some magical math and provides an air of rationality. As long as
| the system works well enough to provide the illusion of
| correctness while still allowing great profits, it does not
| matter much for anybody involved if some people accidentally get
| caught up in the machinery.
|
| It's a bit like the justice system. That system has to provide
| the impression that justice gets served, or people will become
| vigilantes and serve decentralized justice themselves. Actually
| convicting criminals and freeing innocents is a good way to
| provide that impression, but it is not the only way
| haspoken wrote:
| https://archive.ph/AmklV
| badrabbit wrote:
| Shouldn't the government run any credit bureau like it does the
| treasury?
| [deleted]
___________________________________________________________________
(page generated 2022-08-02 23:02 UTC)