From the score scales above, you might notice one of the possible answers to: why are my two scores different, and why is the Equifax score so much higher?
Well, it could be because they have their own separate scoring system. The main difference is Experian grades it between 0 — , while Equifax grades the score between 0 — Nevertheless, a good, very good or excellent score within their respective scales may mean lenders are more likely to approve your loan application than someone who has an average or below-average score.
Note: You're also legally entitled to a free credit report once a year from each of the bureaus - it's worth doing to get a full picture of your overall financial health.
While Experian provides monthly data for each account including the minimum payment due, payment amounts, and balances; Equifax , on the other hand, lists accounts in groupings of open or closed - making it simpler to view a summary of current versus old credit information.
Which is why Experian has a slight edge over Equifax, as it tends to track recent credit searches more thoroughly. In adherence to the Credit Reporting Code, more companies in Australia use Equifax for credit reporting than use Experian.
Thus, making it the largest credit reporting agency in Australia. It's important to note that not all credit providers report to both of these bureaus and even when they do, they might do so in different time frames. For example, one might look at the most recent, whereas another might look at weeks apart. Also, as mentioned earlier, it is possible to have a debt showing on one without it appearing on the other. For this reason, it is quite possible that each CRB will have data that is unique to them.
Despite the differences between the information provided by Experian and Equifax, they do share some similar attributes, including:. Long story short, having different scores and different information with different CRBs is perfectly ok, as long as the information provided in each credit report is accurate and contains no misleading information or unequivocal mistakes. What's more, credit reporting bureaus can and do make mistakes but of course, you should not keep your hopes on this.
As a result, they usually use both credit reporting agencies to get a full picture of a borrower's creditworthiness.
While each of these credit-reporting agencies calculates your credit scores differently, they all focus on how responsible you are with the money you borrow. There are a few reasons why you might get different credit scores from FICO and each of the three major credit-reporting agencies.
Here are some of the most common situations:. We recommend you periodically check your credit reports for errors, which could affect your scores. They feature unique formulas that cater to, say, credit card issuers, mortgage lenders or car salesmen, each placing importance on different factors.
Note that your base FICO Score will likely also account for a missed car payment, but it may be weighted differently. Think of your credit scores as a report card that gauges your creditworthiness. The most common scores range from points to points. The higher your score , the better. I found it here -. Unfortunately none of those scores are FICO scores.
With all due credit to long time member llecs for this : "Virtually everyone sells scores, but they are not all FICO scores. If you got scores from the big 3, then very likely 2 or all 3 of them are not FICO scores. If it didn't say "FICO" next to the score, then it isn't. Other companies e. They do this because they want to avoid paying any fees to FICO and when they say "credit score" people buy it anyway on the assumption that it is a FICO. Ahhh, I see If you bought TU and EQ from here, and compared exactly identical reports, you'd still find a small difference becuase the formula differs.
In an ideal world, your reports should match, but I bet they don't. I'd review TU and EQ side-by-side. Look for major differences like accounts on one but not the other, baddies on one but not the other, balance differences on one and not the other, and even zero in on charge or no-preset limit CC accounts, and LOCs, as TU can sometimes look at those differently over EQ.
Any of these differences can result in large score differences. A big guide in spotting these differences are the first 3 pages of each report. Look for differences in util, AAoA, length of credit history, inquiry count, recent accounts, or any other info if listed. The next page to target is the Credit At-A-Glance page. LightStream Personal Loans. We may receive a commission from affiliate partner links. Click here to read more about Select. Click here to read our full advertiser disclosure.
Credit Score Online. We may receive a commission when you click on links for products from our affiliate partners. Credit scoring model used: There are several models out there for scoring your credit history.
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