IonQ partners with Emergence Quantum to expand APAC presence
Investing.com -- TransUnion (NYSE:TRU) stock fell 4.7% on Friday afternoon, while Equifax (NYSE:EFX) dropped 3% and Fair Isaac Corporation (NYSE:FICO) declined 3% after Bill Pulte, Director of the Federal Housing Finance Agency (FHFA), announced a comprehensive review of credit reporting agencies.
Pulte stated on social media that the FHFA is "doing a full scale review of all credit bureaus," sending shares of major credit reporting companies lower during the trading session. The announcement came in response to a social media post suggesting credit bureaus should be "abolished."
The news triggered investor concerns about potential regulatory changes that could impact the business models of these companies, which play a critical role in consumer lending decisions by providing credit scores and reports used by financial institutions.
TransUnion, Equifax, and Fair Isaac Corporation are among the largest players in the credit reporting industry. TransUnion and Equifax are two of the three major credit bureaus in the United States, while Fair Isaac Corporation is known for its widely-used FICO credit scores.
The FHFA oversees Fannie Mae (OTC:FNMA) and Freddie Mac (OTC:FMCC), which together guarantee nearly half of U.S. residential mortgages, making any regulatory review by the agency potentially significant for companies involved in credit assessment.