2011/01/19 Council Agenda Packet

10 B.II CREDIT SCORE INFORMATION SERVICES Equifax may provide various scoring services ("Credit Score Information Services") to Client under this Agreement, in conjunction with various"Standard" Information Services or the Prescreen or Account Review Services. Client will abide by the additional terms and conditions relating to the Credit Score Information Services. Description of Credit Score Information Services set forth in Section 604(a) of the Fair Credit Reporting Act. Subscriber will not order the Service for employment (1) Advanced Energy Risk Model — is a credit scoring purposes. model, developed for the energy industry from extensive industry data, which applies customer criteria and (7) BEACON-is a credit scoring service based on a model advanced scoring techniques to predict the likelihood of a developed by Fair, Isaac and Equifax that ranks consumers service applicant or existing customer becoming a serious in the Equifax consumer credit database relative to other credit risk. consumers in the database with respect to the likelihood of those consumers paying their accounts as agreed. Equifax (2) Advanced Wireless Risk Model— is a credit-scoring is the authorized agent of Fair, Isaac for purposes of model which predicts the likelihood of a service applicant or executing this Agreement for Beacon, and for collection of existing customer becoming a serious credit risk. The all fees for the service. model was built specifically for the wireless communications industry. (8) Brokerage Risk Indicator - is a highly refined credit scoring analytical tool developed specifically for the (3) ARM Predictor-is a model that estimates the likelihood brokerage industry that uses advanced, statistical profiling that an individual holds an adjustable rate mortgage based techniques to identify high risk clients and prospects earlier on individual credit file characteristics.ARM Predictor is not in the process, and predicts the likelihood of loss on an a risk assessment score and Equifax recommends that account over a twelve-month period. ARM Predictor be used in conjunction with appropriate risk assessment tools. Client will use ARM Predictor solely for (9) CARcredit 99 Score-is a credit scoring service for the prescreen applications and positive account management. automobile financing and leasing industries that rank- Client will not take adverse action, as defined in the ECOA orders credit files on new or established auto trades based and Regulation B thereunder,with respect to any customer on the likelihood of serious delinquency, charge-off, or on the basis of ARM Predictor. bankruptcy over a 24-month period. (4) Auto Finance Predictor—Auto Finance Predictor is an (10) Enhanced Delinquency Alert System ("EDAS")- is a analytical tool that predicts the likelihood of a consumer point scoring model that measures the likelihood of serious opening a new auto trade. Auto Finance Predictor is not a delinquency and bankruptcy over a 12-month period. risk assessment score and must not be used as a factor to • determine credit eligibility. Equifax recommends that Auto 11) Equifax MarketMax-is a scoring model that generates Finance Predictor be used in conjunction with appropriate a score that represents the relative risk that a consumer will risk assessment tools. Client will not take adverse action, fail to pay as agreed. The score is based on identification as defined in the ECOA and Regulation B thereunder,with verification and validation data and is not dependent on respect to any customer on the basis of Auto Finance credit history. MarketMax was developed by LexisNexis Predictor. Risk Management, Inc. ("LNRM") based on data obtained by LNRM. (5) Bankruptcy Navigator Index 99' — is a credit scoring service that rank-orders and segments accounts according (12) Equifax Recovery Index— is a credit scoring service to the likelihood of bankruptcy over a 24-month period, that rank-orders consumers according to the likelihood of based on information in the Equifax consumer credit paying back any amount on a charged-off account. database and other economic forecast data. Client certifies that it will order this Service only when Client intends to use (13) Equifax Risk Score - is a credit scoring service that the information for either of the permissible purposes set ranks consumers in the Equifax consumer credit database forth in Section 1.3 (b)(i), (ii), (iv) or(v). Client will not order relative to other consumers in the Equifax consumer credit the Service for employment purposes. database and segments accounts based on the likelihood of those consumers paying their accounts as agreed and (6) Bankruptcy Navigator Index 3.0 - is a credit scoring predicts the probability of serious delinquency, charge-off, service that rank-orders and segments accounts according and bankruptcy over a 24-month period. to the likelihood of bankruptcy over a 24-month period, based on information in the Equifax consumer credit (14) Equifax Smart Score 2.0 — is a targeted risk model database. The scores returned by the Bankruptcy that predicts the likelihood of a sub-prime consumer Navigator Index 3.0 service only represent a prediction of becoming severely delinquent (charge off+) over the next bankruptcy filing relative to other individuals in the Equifax 12 months. credit database and are not intended to characterize any individual as to credit risk or credit capacity. Subscriber (15) Income Predictor 2.0— is a model that estimates an certifies that it will order this Service only when Subscriber individual's income based on individual credit file intends to use the information for the permissible purposes 1 characteristics. Income Predictor 2.0 is not a risk Standard Agreement for Service—On Line Services Only LRD 4/29/05 4 13 #43064v17