In the U.S., there are three national credit bureaus (Equifax, Experian and TransUnion) that compete to capture, update and store credit histories on most U.S. consumers. While most of the information collected on consumers by the three credit bureaus is similar, there are differences. For example, one credit bureau may have unique information captured on a consumer that is not being captured by the other two, or the same data element may be stored or displayed differently by the credit bureaus.
A predictive FICO scoring system resides at each of these credit bureaus from which lenders request a FICO® Score when evaluating a particular consumer's credit risk. The FICO scoring system design is similar across the credit bureaus so that consumers with high FICO Scores on bureau "A's" data will likely see a similarly high FICO Score at the other two bureaus. Conversely consumers with lower FICO scores at bureau "A" will likely get low FICO Scores at the other two bureaus when the underlying data is the same across the bureaus.
When the scores are significantly different across bureaus, it is likely the underlying data in the credit bureaus is different and thus driving that observed score difference. However, there can be score differences even when the underlying data is identical as each of the bureau's FICO scoring system was designed to optimize the predictive value of their unique data.
Keep in mind the following points when comparing scores across bureaus:
Not all credit scores are "FICO" scores. So, make sure the credit scores you are comparing are actual FICO Scores.
The FICO scores should be accessed at the same time. The passage of time can result in score differences due to model characteristics that have a time based component. Comparing a FICO score pulled on bureau "A" from last week to a score pulled on bureau "B" today can be problematic as the "week-old score" may already be "dated".
All of your credit information may not be reported to all three credit bureaus. The information on your credit report is supplied by lenders, collection agencies and court records. Don't assume that each credit bureau has the same information pertaining to your credit history.
You may have applied for credit under different names (for example, Robert Jones versus Bob Jones) or a maiden name, which may cause fragmented or incomplete files at the credit reporting agencies. While, in most cases, the credit bureaus combine all files accurately under the same person, there are many instances where incomplete files or inaccurate data (social security numbers, addresses, etc.) cause one person's credit information to appear on someone else's credit report.
Lenders report credit information to the credit bureaus at different times, often resulting in one agency having more up-to-date information than another.
The credit bureaus may record, display or store the same information in different ways.
FAQs
When the scores are significantly different across bureaus, it is likely the underlying data in the credit bureaus is different and thus driving that observed score difference.
Why are my FICO scores different for the 3 credit bureaus? ›
For example, lenders can choose to report to one, two or all three agencies. Because of this, the information in your reports can vary, which is partly why your scores can differ too. There are also many scoring models. VantageScore® and FICO® are two of the most popular.
Why is my FICO score different everywhere? ›
Keep in mind, there are dozens of credit-scoring models out there that may calculate your score a little differently. Scores are calculated using different credit reports. Some lenders report to all three major credit agencies, but others report to only one or two.
Why is my FICO score different on different platforms? ›
Additionally, FICO® Scores are based on credit report data from a particular consumer reporting agency, so differences in your credit reports between credit reporting agencies may create differences in your FICO® Scores.
Which credit bureau is most accurate? ›
There is no “best” credit bureau—all three bureaus can offer helpful information and tools to help you make financial decisions.
Which credit score is more important FICO or Experian? ›
There isn't one “more accurate” report. The most accurate report in any individual case is the one that has the most complete information. Creditors don't have to report to any of the credit bureaus, and they certainly aren't required to report to all of them. Some lenders only report to one or two of the bureaus.
What is a good FICO score? ›
Which FICO score do lenders use? ›
While most lenders use the FICO Score 8, mortgage lenders use the following scores: Experian: FICO Score 2, or Fair Isaac Risk Model v2. Equifax: FICO Score 5, or Equifax Beacon 5. TransUnion: FICO Score 4, or TransUnion FICO Risk Score 04.
Which credit score is used most? ›
FICO ® Scores are the most widely used credit scores—90% of top lenders use FICO ® Scores. Every year, lenders access billions of FICO ® Scores to help them understand people's credit risk and make better–informed lending decisions.
Can a FICO score be wrong? ›
Your FICO® Score uses the information on your credit reports to calculate your FICO Score, so inaccurate or incorrect information on your credit report can hurt your score. All disputes with Equifax are handled online.
Lenders report credit information to the credit bureaus at different times, often resulting in one agency having more up-to-date information than another. The credit bureaus may record, display or store the same information in different ways.
Which of the three credit bureaus is most important? ›
Of the three main credit bureaus (Equifax, Experian, and TransUnion), none is considered better than the others. A lender may rely on a report from one bureau or all three bureaus to make its decisions about approving a loan.
Why are credit scores different on different platforms? ›
This is because individual consumer reporting agencies, credit scoring companies, lenders and creditors may use slightly different formulas to calculate your credit scores. They might also weigh your information differently depending on the type of credit account for which you've applied.
Which FICO score is usually the lowest? ›
What is the lowest credit score possible? Most of the credit scores that lenders use in the United States, including most versions of the FICO Score, range from 300 to 850. Therefore, most financial professionals generally accept that 300 is the lowest credit score a consumer can have.
Why is my credit score lower when the bank pulls it? ›
If a consumer accessed their credit report twice within a matter of 24-48 hours, the credit score would be substantially different. Another reason your credit score could be different than what the mortgage lender pulls is that you could be looking at a single-merge (on score) credit report.
Is a FICO score 8 good? ›
FICO 8 scores range between 300 and 850. A FICO score of at least 700 is considered a good score. There are also industry-specific versions of credit scores that businesses use. For example, the FICO Bankcard Score 8 is the most widely used score when you apply for a new credit card or a credit-limit increase.
Why is my Experian score so much higher than FICO? ›
When the scores are significantly different across bureaus, it is likely the underlying data in the credit bureaus is different and thus driving that observed score difference.
Which credit score is most important, Equifax or TransUnion? ›
Neither your TransUnion or Equifax score is more or less accurate than the other. They're just calculated from slightly differing sources. Your Equifax credit score is likely lower due to reporting differences. Nonetheless, a “fair” score from TransUnion is typically “fair” across the board.
Is FICO more important than TransUnion? ›
The Three Bureaus and FICO
For example, an apartment manager who checks your credit may only look at Experian while a credit card company might only look at TransUnion. FICO was developed as an alternative to these bureaus. Many lenders prefer FICO because it paints a more holistic picture of the potential borrower.
