Which Credit Score Is My REAL Credit Score? Everywhere I Go It’s Different!
Got this email from Mark and wanted to help clear things up a bit.
Having gone through the same thing a while back, being unaware of how scores work and what scores you’re getting can get more expensive with every mistake.
A few months ago at my credit union, I was curious about my score so a rep brought me back into her cube area and helped me figure out what my payments would be on a car I was looking at. Although she wasn’t supposed to, she told me what my score was and it was higher than I expected (in the low 700’s), so I was happy. She did ask about a few items that shouldn’t be there though. Incorrect addresses, and a credit card for a store I’ve never shopped at before.
So I went online to Experian and purchased a credit score there. But they had my score at almost 100 points LESS! I haven’t done anything between the visit to the bank and haven’t done anything for a few months before that so nothing should be changing. It listed the incorrect addresses and the store account and nothing else, so it seems to be the same data the teller told me about.
Why are the scores so drastically different? Experian called my score their “PLUS” score. Is this my FICO score? What score did the bank use?
Great question. Ok Mark, first off: there are MANY different credit scoring systems. Additionally, lenders even use DIFFERENT versions of the same score you purchase. It’s frustrating, I understand, but here are some general things to keep in mind.
I’m personally a huge fan of the FICO score as it seems to be the most inclusive and widely accepted score. I’ll explain that a bit later. Even FICO scores though, can be different depending on who is pulling it. Whether you’re a consumer or a lender.
The Different Credit Scores
Experian’s Credit Score
Experian and their affiliates (FreeCreditReport.com – You’ve probably heard their annoyingly catchy commercial) will give you a PLUS score. Keep in mind that credit score sites are annoyingly similar with regards to their naming conventions. If you order from AnnualCreditReport.com (which often advertises that you get a free report every 12 months), you’re going to get a VantageScore which is different from the PLUS and the FICO score. The PLUS score is pretty similar to your FICO score. The VantageScore can be around 100 points off – possibly what you experienced. The reason for this is the ranges and the formulas used to find your place in that range. VantageScores go from 501 to 990 where a FICO or PLUS score goes from 300 to 850.
Equifax’s Credit Score
Equifax actually uses FICO scores for most of their products. Equifax helped develop the VantageScore with the other 2 bureaus, but doesn’t appear to be selling it any longer. If you order a credit report through Equifax, like their 3-in-1 report, you’re less likely to notice large variations elsewhere because they use the FICO score.
TransUnion’s Credit Score
When you order a report with TransUnion, you’re going to get a TrueRisk Score. There seem to be a few variations and some are closer to FICO scores than others. You can order a FICO score with TransUnion by going to a satellite site of thiers called TransUnionCS.com. TransUnion seems notoriously difficult to deal with on the customer service side, however. In my experience you’re also more likely to get non-US support which can make conversations uncomfortably difficult due to accents.
myFICO’s FICO Score
This is perhaps the most expensive, but also the “truest” and safest bet for figuring out your score. Like Equifax and others, myFICO.com also has a 3-in-1 package that lets you see your true FICO score as well as your score with other bureaus. Because most lenders tend to use FICO scores, it’s usually a safe bet when you’re using myFICO.com’s calculators to figure out projected payments and whatnot.
So Which Credit Score Do You Pick?
Tough question, none are the same. However, most advise staying away from the VantageScore. Additionally, you’ll want support that’s easy to deal with. myFICO.com is currently running a special that gives you a 30 day free trial with an “official” FICO score which you can cancel previous to 30 days and pay nothing. In cases like that, I recommend picking a company that uses easy-to-understand service personnel. My last call to myFICO was very easy unlike my experience with TransUnion. I canceled on day 28 or 29, the woman on the phone was friendly and easy to understand, and after checking my online bank account for the next month I never saw a charge. That did a bit to renew my faith in free offers. I’m a natural cynic, though.
If you’re about to look into a major purchase like a car, home, etc. I recommend myFICO.com over the individual bureaus. myFICO can give you the scores and reports from the 3 bureaus, but you can’t be too sure that the individual bureaus will give you your official FICO score. In that case, the extra few dollars is highly worth it.
While myFICO keeps their 30-day trial up, I’m putting a banner on the right sidebar. If you’re in the market for a report, click it and take advantage of it while it lasts. Just remember to set your calendar for 3 – 3 1/2 weeks from the date you order so you can call and cancel without getting charged if you don’t need it any longer. It’s a great way to see what your score looks like, without having to commit to purchasing anything unless you find that some credit repair is in order.
Check Out Some Related Posts
- Does a ‘Denied’ credit inquiry do the same as an ‘Approved’ one?
- Are Credit Unions Better Than Banks? Perhaps, But Even Credit Unions Are Being Hit By Delinquent Auto, Credit Card, and Home Equity Real Estate Loans
- Saving money on gas: Pay less if you pay with cash
- A Bright Light Among The Gloom: A Foreclosure Story That Actually Worked Out
- In The Past Six Months, All Of The Top Eight Credit Card Companies Have Applied Increased Interest Rates On Existing Cardholder Balances
- Don’t Worry – The FDIC Insures Your Money! Except Of Course When It Doesn’t Actually HAVE Enough Money…
- Property Taxes Going Up, MythBusters, Central Banks, and How Our Inflation Compares To Japan
- Real Estate Sales Hit A 10 Year Low – Almost One-Third Of Buyers In The Last Five Years Owe More On Their Mortgages Than Their Houses Are Worth
- Foreclosures In Arizona Have Officially Spread To The Heart
- About This Site
