There is a great opportunity here, if you have unlimited funds and can hold your own loans. The problem is that nobody with the money wants to take this risk on themselves, so they need to securitize these debts. Securitization requires categorizing different loans into risk pools or tranches, which are only categorized by FICO score.

In other words, sure, if you've got $billions lying around and are willing to hold 30 year loans for their full term, feel free to start a business doing this. If you're like any other bank and you want to off-load it to Fannie/Freddy immediately or securitize them and sell them to hedge funds, you need to put a FICO score on every loan and that is the only thing anyone cares about.

It's obvious this is why our financial system is so screwed up. There are people with 800 credit scores that are upside down by hundreds of thousands of dollars, yet they can still get as much revolving credit as they want because of their credit scores. Then, there are people like me who have actual cash reserves in the tens of thousands and 0 debt, and refuse to hold revolving credit, who have sub-700 because we don't buy into the whole debt ponzi scheme. The system is broken and it will take a lot more than a new business model to fix it. It will literally take several acts of congress.