![]() ![]() Under the Equifax model, a good credit score ranges between 660 and 724. However, its scoring range is slightly different from FICO’s range, starting at 280 and topping out at the same 850 figure. It uses a proprietary credit scoring formula, which is similar to FICO’s. It operates in 11 countries, including the United States, where it monitors data on more than 222 million consumers. Equifax credit score calculationĪtlanta-based Equifax was founded in 1899. Additionally, your latest reported balance totals account for 11%. New credit accounts (5%) are also less important for TransUnion than for FICO, and your available credit counts for 3%. Ĭredit utilization accounts for a smaller percentage of the TransUnion score than the FICO credit score, at 20%. Your credit history accounts for 21% of this total score. ![]() įor TransUnion, your payment history is even more important than it is under the FICO system, accounting for 40% of the total score. A good credit score under the TransUnion model ranges from 720 to 780. TransUnion uses the VantageScore 3.0 model in compiling its credit score, which ranges from 300 to 850. It has information on more than a billion customers in 30-plus countries, including 200 million in the U.S. TransUnion is a Chicago-based company founded in 1968. It’s helpful to know the difference between how TransUnion and Equifax calculate credit scores, in order to better understand the numbers that appear on their credit reports. However, these are defined and weighted somewhat differently depending on the company that’s compiling your score. Generally speaking, credit scores are calculated using five factors: payment history, amounts owed, length of credit history, new credit, and credit mix. (FICO, an abbreviation for Fair Isaac Corporation, is the most commonly used.) This can be confusing because most lenders use credit scores compiled by one of two outside companies - FICO® and VantageScore - which come up with different credit scores using their own models based on the credit bureaus’ reports. Credit score: Credit bureaus each calculate their own credit score.Credit scores are calculated from the information in your credit reports. Credit report: Your credit report contains information about when credit accounts were opened, their balances, credit limits, and payment history, as well as information on bankruptcies and debt collections.They use this information to compile credit reports and calculate credit scores, which are different. What do the credit bureaus do?Ĭredit bureaus, or credit reporting agencies, collect information from a variety of sources (lenders, utility companies and others) using your Social Security number, credit file, and other identifying information. We’ll cover the difference between TransUnion and Equifax in this article. The three major credit bureaus calculate credit scores using slightly different credit scoring models. However, you may be surprised to find that the information varies from one bureau to the next. If you are interested in knowing your credit history, you can find out from one of the three major credit bureaus: Transunion, Equifax, and Experian. ![]()
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