Mortgage Lending fico score vs. consumer credit score.

[Anonymous]

Hi, can someone please tell me the formula that bank/ mortgage lenders uses to calculate the credit score. I read  mortgage lenders used a formula named: "industry weighted score or a general purpose model" I am trying to find out why when I pull my credit report from the credit bureaus, my score is higher and when the banks pulls my credit score for a mortgage loan, there was a 80-100 points difference which denied me from getting a mortgage loan.  If anyone can comment and knows the formula used to calculate it, I would appreciate it.  Please advise.  Thank you

[llecs]

Exactly where did you pull your scores from (e.g. Experian.com, TransUnion.com, TrueCredit, CreditCheckTotal, FreeCreditReport, etc.)?

[Anonymous]

I pulled my credit report from transunion.com website, which gave me all three scores and reports.

[Anonymous]

Hi rwashington4,

Welcome!!

Most lenders use FICO scores.

Unfortunately, the transunion site is no longer giving you FICO scores.  They sell their own credit scores (often called FAKO scores) which can be (as you've experienced) way off.

You can buy your FICO scores here.  When you buy your report and FICO score, you will also receive some pretty cool tools, including how lenders see you (which will tell you what interest rates in your state are typical for your FICO score, what is Helping Your FICO score and what is Hurting Your FICO score, along with how your score will respond to certain changes in your credit report.  I used the ScoreWatch program when I was watching my credit report and building my scores up - I like it fine.

Also, if you haven't already, please read Credit Scoring 101 (the first post will give you some solid info).

[GregB]

Transunion.com is using the Vantage Score so they will have very little correlation to the FICO scores used by mortgage lenders. The Vantage Score will usually be MUCH higher since the score ranges up to 990 instead of the FICO max score of 850.

The information in the Credit Reports from transunion.com is correct, it is just the scores and advise that is almost useless.