Why is there such a variance in credit scores from the 3 credit bureaus?
K.C. asked:
I know that the credit bureaus have diffrent scoring systems but why is there such a diffrence betwwen the three…..Transunion is usally my highest at 645…Experian at 630…..Equifax at 592….my Equifax credit score has stayed put for some time now while the others keep going up—- does anyone know why and how can I get my Equifax in the 600 range…
I know that the credit bureaus have diffrent scoring systems but why is there such a diffrence betwwen the three…..Transunion is usally my highest at 645…Experian at 630…..Equifax at 592….my Equifax credit score has stayed put for some time now while the others keep going up—- does anyone know why and how can I get my Equifax in the 600 range…
FYI All my credit reports from the bureaus contain the same accurate info
Deborah
Marilyn
each company places different values on their scoring modules and what may be very minor to one company may be a big hit with another. That is why lenders use the middle of 3 to evaluate your credit risk
Irene
Different company, they analyze the same information differently, no rhyme or reason. You need to get your Equifax and check it out to see what is pulling your score down, and then correct it.
Ruben
The creditor in an attempt to save money sometimes only reports on one or two bureaus to save money. You can fill out a Universal data form and submit that to the credit bureaus along with copies of payment & billing statements. The bureau isnt required to, but often will, report these accts. This raises that individual bureaus credit rating of you by adding positive credit accounts or references.
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Franklin
They all use slightly different formulas to calculate your score
Marion
Your Equifax score is the only one that really counts. That’s a FICO score which is what creditors use. You have to specifically request a FICO score for Transunion and Experian. They both use the other scoring system that runs to 950 (FICO only goes to 850).
Even if you get FICO from all three, there will be differences in the way each credit bureau weighs the information. Go to MyFico.com to get real, updated FICO scores for all three credit bureaus. You may find there isn’t so great a difference.
To improve your score, pay off any credit card balances. Carrying balances of more than 30% of your available limit hurts your score. Paying off the balance will give you a quick score boost.
Experts also recommend 3 or 4 revolving credit lines and 2 installment loans to get the best score. Of course you must pay everything on time. You need at least a 24 month consistent, on time payment history to see your score improve.
James
Not all creditors report to all three bureaus. Some do, others report to two, and others yet to only one of them. Thus, a derogatory item may be on file at one of the bureaus, and not at the other two. And that will certainly change your score.