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Which Credit Score Model Should You Check?

by on June 26, 2012

By Jane Doe

It always seems like a new data company is coming out with a new type of credit report and credit score model.  For the average busy working consumer, it must be hard to keep up with the ever-changing aspects of the credit reporting and scoring industry.  In today’s blog post, we have outlined a guide of the top three credit scoring models and which one is used most often.

First let’s make sure to differentiate between a credit score and a credit report.  A credit score is a three-digit number usually ranging from 200 to 950 that is calculated based on various personal and financial data in a credit report.  A credit report contains an individual’s past borrowing and repayment history, credit history, banking history, and personal data and can conclude a person’s credit worthiness, or ability to pay back a debt.  Each credit scoring model is different and the calculations are not disclosed exactly.

There are many credit scoring models, but we have compiled a list of the top three models that are already or are aiming to become a top industry standard model. Also, know your credit report rights — the Fair Credit Reporting Act requires that any national consumer credit reporting agency and consumer reporting agency must provide one free annual copy of your credit report. You can request your report from the top three credit bureaus (Equifax, Experian and TransUnion) by filling out some personal information at

Now that we have the basics spelled out, here are the top 3 most commonly used and most popular credit scoring models and what you need to know about them:

* Vantage Credit Score – This is a fairly new credit score that can be obtained from all three of the major credit bureaus (Experian, Equifax, and TransUnion) and the score can range from 501 to 990. The Vantage credit score also offers a letter grade with the score to help consumers get a clearer idea of their credit health. This credit score does not disclose the exact mathematical equation used to calculate a consumers credit score but it does consider these 6 factors: payment history, utilization, balances, depth of credit, recent credit and available credit.  This credit score is fairly used by creditors and lenders but is not the number one industry standard.

* Extended View Score – Experian data collection and credit reporting bureau just launched this new credit score.  This new credit score is aimed towards new borrowers with no or very little credit or individuals with bad credit who are trying to redeem themselves. It is based on three data sources including your credit data, payment history and data and public record data.  In laymen’s terms, this includes renting data, any criminal history, credit, loan or payday loan history, bankruptcy/delinquencies, and all your bill payment history. The idea behind this fairly new model is that even if you have no credit or bad credit, if you are on time paying your rent, utilities, phone bill, etc., you will have the opportunity to access new forms of credit and improve your overall financial well-being.

* FICO Credit Score – All of the three major credit bureaus (Experian, Equifax, and TransUnion) offer the FICO credit score which ranges from 300 to 850. The FICO scoring system was named after the company who created it, the Fair Isaac Corporation. The FICO score is the most popularly known credit score and is considered the lender standard. This model was the original first credit scoring system and the exact FICO score equation used to compute a FICO credit score is undisclosed. Although the exact mathematical formula is not public, we do know the five credit score influencing factors which include your repayment history (35%), how much debt you owe (30%), credit history (15%), new credit you apply for (10%), and your credit diversification (10%). To learn more about each of these factors, visit

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From → The Credit Line

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