[ Edited ]
ng Your FICO Score
07-22-2010 08:47 PM - edited 07-28-2010 07:15 PM
I enjoyed your interpretations, but what I find so amazing is that when we applied for a car loan 6 days prior to our mortgage lender running our credit there were major differences in our reports.
1. My scores at the dealership were in the 500's, when I checked myself they showed low 500's, when the mortgage lender ran they were between 572 and 627. Go Figure
2. My husband at the dealership was over 700 (after a short sale 16 months ago), his personal check showed 680, mortgage lender saw between 649 and 680.
So how do we know what is the truth? How can we hang our hats on this mixed up system?
Hi, freckles, welcome to the forums!
You've come across one of the ugly realities of credit. Most people unknowingly buy what we call "FAKO" scores, which are credit scores derived from non-FICO scoring formulas. Lenders don't use them, but the sellers of the scores (often the credit bureaus) make a tidy sum on the sales. One handy indicator as to whether scores are FAKO's is if you have an Experian "credit score," as Experian stopped allowing consumers to buy our own Experian FICO scores in February of 2009. Other than in a very few instances, an Experian credit score is generally a FAKO.
Also, many car dealers pull a specialized subset of FICO scores called "auto-enhanced" FICO's, which are tailored for the auto industry. Auto-enhanced FICO's are often higher than classic FICO scores, as they are on a different score range, but they can also be lower, especially if the consumer has ever had problems with previous auto loans. The scores that mortgage lenders pull are generally the so-called "classic" FICO scores. You can get these here, although the TU score is an older version, but as mentioned above, you can't buy your FICO Experian score. You find that one out by applying for a mortgage, or by belonging to one of a tiny handful of credit unions that supply this score. PSECU in Pennsylvania is one of them.
Anyway, we hope you'll read around here on the various forums and learn all the weirdnesses involved in consumer credit. With the knowledge found here, and some hard work, many members have made dramatic improvements in their credit profiles and in their FICO credit scores.
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007