Credit Scores---3 different scores..?

Question

I pulled all 3 scores today from myfico.com and My Equifax is 631, my Experian is 686 and my Transunion is 586. I dont really understad the major difference in the score. Never late on mortage payments (which is new (opened April 06) never late on CC's and credit history is about 5 years old. I have one bad remark with is 5 years old on the Trans. My car loan is in great standing.. Does having a mortgage lower your score??? I would like to have a score on all 3 of at least 700-725 by April of next year to purchase a new car.. Any help out there??!

Answer 1

Get a credit report from each agency, see what is different in each, correct everything, the scoring done may be done on different dates, and may vary some, but not by 100 points....do this ASAP, as it will take a few few to work through all this

Answer 2

Hmmm..they do all score differently and each is trying to surpass fico as the standard.

That one bad remark is too old to have much of an inpact. What I suspect is happening is:
a. you have a brand new mortgage. A year from now it will be seasoned and should reflect positively on your score
b. it is possible you have too much debt relative to your credit limits. Work to pay them down or off (if you do pay offs, pay most on your highest interest debt).

If you want to up your limit, do not incur any more new debt and don't close any accounts. Your balance to limit ratio means a lot.

After your car loan you can close some accounts you don't use if you want to.

In recent years, I've become quite a huge fan of the "debt free" life. In my opinion, the ONLY debt worth having is a mortgage, and that's because it is leveraged against the [hopefully] rising value of the home and the tax benefits of home ownership.

I don't think I'll ever finance a car again. I'd rather drive "paid for" than something nicer because it is sooooo much sweeter to have my money GROWING for me in my investment accounts than to be paying that interest over to someone else for what is just a toy or image piece.

The banks and credit card companies are legal thieves. If there's any hiccup at all, an extended period of illness or unemployment, you can quickly wipe out all your assets, and very few Americans are even remotely prepared for retirement.

Anyway..that's a pet rant for me. Stay debt FREE!

I apologize for the rant, but I did also answer your question.

Good luck and have a good life.

Answer 3

Part of the reason that scores are different is because not ALL creditors report to ALL 3 bureaus. If you compare the 3 reports you will see those inconsistencies, hence the difference in the scores, at least partially.

Other differences stem from the WAY the CRAs code things. Experian, for instance, will show 'date updated' as a 'date of last activity' which FICO picks up as 'recent activity' , even if that update was only a dispute BY YOU. In the instance of an old bad debt, that 'update' by EX will make it look like a recent default. FICO will pick that up and your score will be lower.

Lots of factors, it all needs to be standardized to stop such nonsense.

Answer 4

So far, I have not seen anyone specifically answer this question.

Here is what you need to know. FICO (Fair Isaac Corp) is accurately reporting Equifax scores only as FICO is the company that scores for Equifax. If you want your accurate TransUnion score you need to go to TrueCredit, which is company keeping accurate scores for TransUnion. PLUS Score for Experian, get the idea ?

FICO, or any other scoring sight does not accurately report scores for the other two bureaus. And as we have been blessed (by law since 2004) with free annual credit reports, lawmakers are in the process of setting cost limits (or standardizing) on credit score purchase. Something in the neighborhood of $5 to $7 per score per bureau.

Once lawmakers standardize credit score purchase, it will most likely be accessed through http://www.annualcreditreport.com .
In a sense, scores are already available at this sight as you are transferred to each credit bureau.

Presently you have your Equifax score. Go to TranUnion and Experian for your other two scores. As far as the scoring fluctuation goes, in my case, TransUnoin has more reporting and so my score there will be different than Experian, which has much less reporting.

Answer 5

Mortgage companies usually take the middle score. Seems as though transunion has maybe recorded more inquiries as well. After 3 inquires more points gets taken off your credit scores.

To prep for April close any open accounts with a zero balance you don't use, don't apply for credit, and pay everything ontime. Credit can stay with you for 7-10 yrs. Kinda hard to raise your avg credit score higher because time plays a big role in increasing your credit scores.

You don't need stellar credit scores to get a car. But if you want financing, credit scores matter if your looking for that 0.0% rate.

Good luck!

Answer 6

Credit is a tricky thing. But those scores don't only go by payment history. They also go by debt to income ratio. (Do you have more debt than income) How much of your total credit card balance is used up. Having maxed or close to maxed credit cards also affects your score. The differences in the scores could be something as simple as that they all dont report the same information. If you have too many credit inquires that could mean that your desperate for credit and that hurts too.

Answer 7

Theres actually 4 credit companys know, but since you own a home and are never late with payments you dont have to worry about ur credit score too much, unless ur looking to but a new house. When you go and buy ur new car that dealer isnt going to look at ur credit, his going to look at ur house and how much u make.

Answer 8

every one will be different, but go only by what equifax has on you, also check you fico scares again with this free service www.eloan.com...on top right the pull down menu, U will see free fico score, do it again..also fight any bad remark on you report..it always will work...this services really can screw up your life if U let them.