This credit scoring system is crap ! ! !

[PRILEY]

As I read on and on I realize this whole FICO FAKO thing is a bunch of crap. Sorry Fair Isaacs but I don't give a rats *** what scoring model is used. You talk about how you have the real score and all the others are FAKO scores. Why then do you SELL an out dated Transunion score (98) that apparently almost no one uses????? My My isn't that theoretically a FAKO SCORE???? That rates right up there with an Experian score that no one uses either. We the consumer should have available what ever scoring model is generated by whoever, We as an intelligent being can find out what our creditors are using at that time and see for ourselves beforehand what they look like and how we can improve them before we commit to a application of any kind. If it's Plus,Vantage,FICO 98,04 or whatever the current version is.Who cares as long as we have access to it and we are not kept in the dark about a MYSTICAL SCORE THAT ONLY THE CREDIT GODS HAVE ACCESS TOO ! ! ! Sorry I had to vent after purchasing 2 outdated TU scores this month in preparing for a refinance. With a TU98 score of 749 form I've been reading,I guess my TU04 is between 710 and 779 Sounds pretty FAKO to me! Here's where Government could be useful.

[jdxprs1]

No credit scoring model that doesn't consider income could ever be accurate. Back in the late 90's, the company I worked for went out of business, plus I got divorced, which cut my household income in half. within 6 months I had a new job making twice as much money and was in great financial shape except for the fact that my credit was damaged for YEARS because of a stupid score that didnt care about anything but history. 

[Homeowner13]

I totally agree this system seems to be messed up! My girlfriend just received her first credit card in April of this year and only had a utilty payment of one year and her score beat mine of 10 open accounts and not a missed payment in nearly 6 years! What gives here? It tells me that my potiental is greater than hers... saying that I could achieve an 850 by next year this time but you have to be kidding me that I missed 3 payments 6 plus years ago and she still has a better score than I do.??? I have a score of 752 and it says she has a score of 761. ??? Someone tell me how this makes sense. Her total availble credit is $750 and mine is $19200 of revolving credit. We both have similar amounts of credit used around 15%.

[marty56]

Credit scores decide what interest rate, if any, and if you get a loan.  Income decides how much.  Regardless of which scoring model is used, everyone knows what to do to get a good credit score.  It is the content of your report that matters so we need to fcous on that and the scores will take care of themselves.

[jdxprs1]

marty,

maybe everyone here knows what to do to get a good score, but i can promise you that 99.999% of the population of america have no clue on most of this crap.

[MarineVietVet]

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@jdxprs1 wrote:

marty,

maybe everyone here knows what to do to get a good score, but i can promise you that 99.999% of the population of america have no clue on most of this crap.

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No matter what the percentage is all we can do is educate ourselves and others as to the best way to navigate through this often confusing world of credit.

From a BK years ago to:
EX - 9/09 pulled by lender 802
EQ - 7/06-663, 3/10-800
TU - 8/10-772
You can do the same thing with hard work

[PRILEY]

If all we have to do is worry about what in our report, Why then does everyone here buy their FICO scores and no comment about th TU thing?

[llecs]

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@PRILEY wrote:

If all we have to do is worry about what in our report, Why then does everyone here buy their FICO scores and no comment about th TU thing?

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I'm in talks with some mortgage lenders for our first. Two of them confirmed the use of TU98 over TU04. There are still plenty of lenders that use TU98 (e.g. Fannie/Freddie). Would that make TU04 a FAKO too since it's not being used in our example? IMO, government shouldn't dictate what scores lenders can use. It should be left to the open market. If they want to switch to a FAKO like Vantage and PLUS, then let them do it. BTW, TU08 is already out. Would your TU04 pull be a FAKO since there's a newer score? It's all relative I guess.

Per your mention on lack of comment on TU04 vs TU98, I'd throw out that there's quite a few posts in here with the same debate. I get the frustration someone has when their lender pull is higher/especially lower than their TU98 from here. Aside from the emotional buildup of pulling for a mortgage, there's the let down that happens when there's a rejection due to a lower score or higher rate due to TU being lower. IMO, myFICO should offer ALL versions of FICO flavor (e.g. Beacon 5.0, 9.0, mortgage-enhanced EQ, TU98, TU04, TU08, Mortgage-enhanced TU). I'd buy them all. I'm not privvy to any info, but I think there's some contractual issues between the CRAs and myFICO that prevent that. I think it is those same issues that prevent myFICO from selling TU04, which I wish they would. Though, if they only sold TU04, then people would still get upset that their TU FICO doesn't match the lender's.

[PRILEY]

Thats my point excactly. Why as consumers do we not have access to (OUR ) scores whatever they might be. Why are we kept in the dark??? I said we should have availible to us whatever scoring model is being used by the lender. I can understand the scoring system is propriotary but not the resulting score. I believe that belongs to us to improve or not. And I'm not saying government should mandate what scores the lenders use I'm saying government could mandate to the CRA's that we as consumers have the right to our score ,whichever model is being used. Why such a mystery?? I just want the same information about me as someone else can get at the bank.They sell the scores to the bank then they should HAVE to sell them to us too. Nothing contractural about that. Doesn't matter to me who I get it from as long as I'm able to get it.

[vanillabean]

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@PRILEY wrote:

I'm not saying government should mandate what scores the lenders use I'm saying government could mandate to the CRA's that we as consumers have the right to our score ,whichever model is being used.

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Credit scoring got a boost in 1995 when Fannie Mae and Freddie Mac, two government sponsored enterprises, recommended to lenders that they use FICO scores. Since government didn't actually mandate the use of these scores, I suppose government can't easily mandate access to those same scores. It's not like each and every lender is using the same scoring model for a given type of credit, in which case it would be easier. Standards are popular, that's why there are so many of them, but the more of them you have, the less standard they each become. Credit reports on the other hand are a whole different story.