General Credit Topics

[tylerrr-27]

Hello all,

I applied for a Lowes Credit Card a few days ago and was denied. It wold me my TransUnion credit score was 422 pulled on 07/23/201. I knew my credit wasn't the best but I about had a heart attack seeing them say it was that low. 

I already recieved a free credit report at the beggining ofthe year for TU, so I came to myFico and purchased one for $19.95 to see what the heck was going on. My FICO tells me it is actually a 624 pulled today 7/27/2012.

So why is there such a HUGE gap between the two? And I assume myFico is correct so why would GE see such a low score?!?!

Very confused here.

[GregB]

Look at the credit denial letter to see what other info might help determine which TU score they used.

Does it say "FICO"?

Does it give a score range?

Any other info might help.

That much lower makes it unlikely to be one of the FICO versions. I'm guessing TU New Account Model 3.0, which has a range of 150-950.

[tylerrr-27]

Ah I didnt notice it at first, the ranges that is.

Scores range from a low of 300 to a high of 620.

No where does it say Fico either.

[MattH]

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tylerrr-27 wrote:

Ah I didnt notice it at first, the ranges that is.

Scores range from a low of 300 to a high of 620.

No where does it say Fico either.

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Perhaps a credit card company has greater freedom to pick whichever scoring model they want, as ooposed to a mortgage lender. Nearly all mortgage loans these days end up being sold on the secondary market, since few mortgage lenders keep loans on their own books. Therefore mortgage lenders basically have to use FICO scores because the secondary market (Fannie, Freddie, etc.) will only take loans that were underwritten using FICO scores.

[GregB]

If you are sure that it said the credit score was based upon infomation from TU, then that has to be an in-house score of some kind. This is generally called a proprietary score.

 It does not match ANY of the 51 credit scores that TU offers to lenders/creditors.

[lecorps4fun]

I had the same thing happen to me this week.  I was pretty bumbed I got denied because I heard it was easy to get accepted.  Ontop of it all the additional inquiry lowered my fico score by 3 points!.

[jamesdwi]

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MattH wrote:

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tylerrr-27 wrote:

Ah I didnt notice it at first, the ranges that is.

Scores range from a low of 300 to a high of 620.

No where does it say Fico either.

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Perhaps a credit card company has greater freedom to pick whichever scoring model they want, as ooposed to a mortgage lender. Nearly all mortgage loans these days end up being sold on the secondary market, since few mortgage lenders keep loans on their own books. Therefore mortgage lenders basically have to use FICO scores because the secondary market (Fannie, Freddie, etc.) will only take loans that were underwritten using FICO scores.

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It's their money they are free to use any report or method for granting or denying credit unless it breaks a law by doing such as  discrimination etc.