May 14 2020

Fico score and credit score different #Fico #score #and #credit #score #different

Fico score and credit score different


Is TransUnion Credit Score Accurate? VantageScore Vs. FICO

There are so many credit scores out there nowadays that it’s easy to get confused as to which one is yourreal,” or accurate, score.

TransUnion uses what is called a VantageScore, which is the first credit score model created in partnership among all three credit bureausExperian, Equifax, and TransUnion.

TransUnion VantageScore is, in fact, accuratebased on that credit score model. This is where things get a bit tricky, but we’ll explain as simply as possible.

TransUnion is Accurate, But May Conflict with Other Scores

The only way your TransUnion credit score wouldn’t be accurate is if you found errors on your TransUnion credit report, which would in turn affect your credit score.

You can check your TransUnion score and report directly from TransUnion for $1. This also includes a 7-day trial of their credit monitoring services.

TransUnion® Credit Monitoring

Now, different credit scores use different scoring methods. For example, the VantageScore credit score is based on a scale from 500 to 990 – whereas FICO (the original credit scoring model created by Fair Isaac Corporation) is based on a scale from 300 to 850.

Therefore, if you check your TransUnion score and see that you have a 675, that’s a poor credit score. But if you go to FICO and see that you have a 675, that’s a good credit score.

VantageScore also weights each factor differently than FICO, as you can see below.

This chart provides an overview of how credit scores are calculated differently by VantageScore and FICO.

Technically, credit scores are accurate according to wherever you get them from (unless there are errors on your credit reports that you need to dispute).

So, the question you’re really asking is, Which score do lenders use?

FICO is the Most Widely-Used Credit Score by Lenders

Since there are so many free credit score options out there, you should know that FICO is the most widely-used credit score among lenders. In fact, 90% of lenders check FICO Scores rather than any other types of credit scores. So if you’re looking to take out a loan anytime soon, we recommend checking your FICO Score.

FICO actually has multiple scoring models, such as FICO Auto Score and FICO Bankcard Score, used in different lending industries. The most popular score across industries is the FICO Score 8, while the FICO Score 9 is the most recently released FICO scoring model.

You can purchase your FICO credit score and report from each credit bureau individually for $19.95 or all three credit bureaus scores and reports for $59.85. Purchasing your credit score through FICO will include your FICO Score 8, as well as other important industry-specific scores.

The Difference Between FICO & “Educational” Credit Scores

Credit scoring has gotten unnecessarily complicated over the years, but there are many companies in existence today whose entire foundations are based on demystifying credit for regular people who don’t write about finances all day (ahem).

These companies — such as Mint, Credit Sesame, and Quizzle — can show you your credit score as well as recommendations for improving your credit, all in easy-to-read laymen’s terms.

In the finance industry, however, anything that isn’t a FICO credit score is generally regarded as an “educational” credit score. This means their purpose is to help you get a ballpark estimate of where your credit stands — and it’s also why they’re free.

The Bottom Line

Check your FICO Score, but use a free service like Mint to see your “educational” credit scores and reports year-round. This is the easiest way to stay on top of your credit and monitor changes to your credit reports.

Other Blog Posts You May Like

FICO Score Meaning: 5 Things You Need to Know

Does Your Credit Score Drop When Someone Checks It?


Bad Credit Stats

Advice & Reviews

From Our Experts

Industry News

How-To Guides

Resource Guides

Top Bad Credit Resources

Consumer Guide: Free Credit Reports & Scores Resource Guides

See our site’s most visited guides on credit and finance topics:

Browse today’s featured articles from our personal finance experts:

See other recommended help guides for those with bad credit:

© 2019 • Digital Brands Inc. • All Rights Reserved

Editorial Note: This content is not provided or commissioned by the credit card issuer. Opinions expressed here are author’s alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. Every reasonable effort has been made to maintain accurate information, however all credit card information is presented without warranty. After you click on an offer you will be directed to the credit card issuer’s web site where you can review the terms and conditions for your offer.



USA News. American News.

News latest news news today news headlines breaking news new current news world news top news latest news today,

headline news online news today's news headlines daily news local news breaking news today new news to day news recent news latest news headlines top news today top news stories news stories national news international.

News news update current news today today's national news news updates headlines news update today latest breaking news breaking news headlines latestnews latest national news english news latest world news latest,

news update latest news headlines for today hot news today headlines today news websites current news events the news today's news headlines in english current news headlines top news headlines national news headlines top.
Headlines latest headlines newspaper headlines today latest it news top stories current news stories news sites.

Written by admin