Why such difference with CRA scores?

[Anonymous]

There is a 100 point difference between my highest score and lowest. The middle score from EX is 20 points from the highest score. All 3 CRA have the same info except each of them has some additional unique info that the other two don't have.

TU my highest score has dept store card from 1987 and another dept store card from 1998 and other CRAs don't.

EX my middle score (aprox 20 from TU) has an Amex from 1992 and other CRAs don't

EQ 100 pts lower than TU has dept store 1998 that the others don't

All these cards have not updated in a while and are due to fall off at various times.  Could these differences account for the 100 point difference in scores? EQ says oldest card is 18years 4 months, can I expect to see more uniform scores when EQ reads my oldest as 19 years. This account is open and reports to all 3. Once you reach 19 years is there an additional key age like 22 years or something that can give a boost?   

[Anonymous]

The extra age on TU would easily explain the 20 point difference, but it wouldn't account for anywhere near a full 100 points IMO.

Is your util the same on all 3? Might a card be coded wrong even if all 3 are reporting the same balance?

Do you have any derogs on your report? Were any of them disputed or paid on a report perhaps triggering a reaging?

[RobertEG]

Hi astudent.  Welcome.

That range is typical.  There is a big difference in reported avg age of your accounts with the CRAs. So, for scorin purposes, your CR with each of the CRAs are not identical.

First, dont just assume that you will lose the benefit of an old account age that you have not used for years.  There is no magical "drop-off" date.  I have a a very, very old (17 yrs inactive) Macy's account that is still posting to my CR and included in my avg age of accounts.  They did not formally close it, and I certainly am not going to ask them to!  It is up to the creditor to close an inactive account, and advise the CRA of such.  Macy's no longer knows that I exist, so I will ride their wave!

Second, some creditors choose to report to none, one, two, or all three of the CRAs.  Credit reporting is totally voluntary on the part of any creditor.  It costs them $$ to establish and account with a CRA, so most smaller creditors will only report to one or two, which adds to an automatic discrepacny in credit scoring.

Third, even if you are getting your credit scores through an authorized FICO provider, such as myFico, be aware that, even with totally identical credit reports with each CRA, your FICO scores will differ.  Each CRA contracts with FairIsaac for their own individualized scoring algorithms, and FairIsaac acknowledges that the simple difference in the algorithms they vend to the three CRAS can, even with identical credit reports, result in a score difference of 20-30 pts. 

Message Edited by RobertEG on 12-22-2008 12:32 AM

[Anonymous]

Thanks for the feedback.  Now I do see that there is a 2% difference in utilization (per my calculations). EQ has updated a recent balance and CLI that TU has not updated. Would 2% make a big difference?

It's great to know that those old cards won't automatically fall off  7 years after last update as I was thinking. We have been fortunate in being able to pay our accounts ontime for the past 7 years without any lates. One report states there is no derog info the others don't list any accounts that have any negative probs. However the suggestions they give is basically pay down your debt, and a BT won't do the trick, pay lol.

I've recently been looking at these board and I can see how addicting it can be. Perhaps TU will update the recent balance on the card soon. Then I will probably pay it off the next month. Then the accounts turn 19 years on EQ and , then, then then...Looking forward to paying the debt down and getting the scores stable for a while. Thanks again

[Anonymous]

2 percent util won't make a huge difference, but it could be about 10-15 points if it crosses you over a scoring threshold. For example, if you are at 10 percent on 1 report but at 8 percent on another, the report with the lower utility could be 15 points lower because your util is under 9 percent (a known FICO scoring point). There are similar levels at 19 percent etc. so it could be partially that, partially the age, and partly just viewing your portfolio a bit differently because all three bureaus have slightly different FICO formulas. For example EQ punishes new credit a lot harsher than the others. TU likes low balances, EX likes low overall utility.