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I am so confused by my FICO Auto Score 8 Scores

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precision
Contributor

I am so confused by my FICO Auto Score 8 Scores

I had a serious rebuild a few years ago and luckily I have been maintaining.  I have had some peaks and valleys but for the most part have been doing well.  With that said I am super confused about my FICO Auto Score 8 Scores.  I don't understand why my Experian score is so low.  I also don't understand why Capital One is quoting me 14-15% interest rates.  Can anyone help me to understand?

 

Salary 155K

DTI - sub 35%

No derogs across all reports

 

FICO Score 8

EQ - 744

EX - 741

TU - 724

 

FICO Auto Score 8

EQ - 700

EX - 667

TU - 725

Message 1 of 13
12 REPLIES 12
GatoradeZeroGuy
Valued Contributor

Re: I am so confused by my FICO Auto Score 8 Scores

Previous history or lack thereof with auto loans/installment loans? 

Starting FICO 8:

Current FICO 8:

1/6, 5/12, 12/24




Message 2 of 13
Beefy1212
Established Contributor

Re: I am so confused by my FICO Auto Score 8 Scores

You are missing all the important stats.

 

lates, collection, inquiries 6 and 12 months, new accounts, utilization, accounts with balances, previous loan history(a major factor on auto scores).

 

also what is your actual DTI? Sub 35% doesn't say much 30% is a major threshold.



Message 3 of 13
precision
Contributor

Re: I am so confused by my FICO Auto Score 8 Scores

i thought the no derogs covered the lates and collections.

 

absolutely no lates

absolutely no collections

2 inquiries in past 12 months

2 new installment loan accounts in the past 12 months (1 paid off, 1 with a balance)

no new cards since 2018

29% utilization

6 cards with a balance, 6 at zero

no auto loans since 2008 

the dti issue is tricky.  i am at 29% utilization on my cards but I have 1 installment loan.  I am not sure how to calculate that.

Message 4 of 13
fury1995
Valued Contributor

Re: I am so confused by my FICO Auto Score 8 Scores


@precision wrote:

i thought the no derogs covered the lates and collections.

 

absolutely no lates

absolutely no collections

2 inquiries in past 12 months

2 new installment loan accounts in the past 12 months (1 paid off, 1 with a balance)

no new cards since 2018

29% utilization

6 cards with a balance, 6 at zero

no auto loans since 2008 

the dti issue is tricky.  i am at 29% utilization on my cards but I have 1 installment loan.  I am not sure how to calculate that.


Calculate the current balance divided by opening loan amount.

It's a sperate calculation catagory from revolving / open ended credit.

 

Where are you pulling your AUTO FICO8 Scores from?

If there are negative factors, you should compare them to what your Tranunion and Equifax factors state.

 

If you can copy them to your post, please do.

August 28, 2023 FICO 8

August 28, 2023 FICO BankCard 8

August 28, 2023 FICO Auto 8

citi-costco-ImgurCiti-Double-Cash
Message 5 of 13
precision
Contributor

Re: I am so confused by my FICO Auto Score 8 Scores


13% DTI according to Lending Club.

 

Ficos both FICO 8 and Auto are coming from myFICO.  Last update is 4/7/2023.

There are no negative factors listed.

The only thing listed under the scores is the following:

 

60-Month New, 10% down, $25,000 vehicle with a middle FICO® Score of 700.
Monthly payment
$458
APR1
8.119%
A score of 720 could save you $12 on your monthly payment.
 
Here are the details of the installment loan:
 

Loan terms:

Original Loan Amount:$32,000
Loan term:36 months
Interest rate:

5.09%

Remaining principal balance
$28,680.41
 
That 8.1% interest rate is way different than what Cap1 was offering.  I do not understand that at all.
Message 6 of 13
Beefy1212
Established Contributor

Re: I am so confused by my FICO Auto Score 8 Scores

@precision  The no derogs did my brain just skipped over it.

 

DTI is housing cost + credit debt obligation divided by gross monthly income.

 

so 1,000 rent/mortgage + 300 dollar car payment + 700 in reported credit card debt= 2,000 say you make 5,000 pre-tax that would be 2,000/5,000= 40% DTI.

 

As for why the cap1 offer was so high... Cap1 is a subprime lender with a few prime cards and massive name recognition. They are rarely a good deal, if I am reading your last post correctly you have a brand new 32k loan that has 89% of it's balance remaining... remember I said loans (auto) are a significant factor for auto loans? That would be a rather large factor right there in those higher rates.



Message 7 of 13
precision
Contributor

Re: I am so confused by my FICO Auto Score 8 Scores


@Beefy1212 wrote:

@precision  The no derogs did my brain just skipped over it.

 

DTI is housing cost + credit debt obligation divided by gross monthly income.

 

so 1,000 rent/mortgage + 300 dollar car payment + 700 in reported credit card debt= 2,000 say you make 5,000 pre-tax that would be 2,000/5,000= 40% DTI.

 

As for why the cap1 offer was so high... Cap1 is a subprime lender with a few prime cards and massive name recognition. They are rarely a good deal, if I am reading your last post correctly you have a brand new 32k loan that has 89% of it's balance remaining... remember I said loans (auto) are a significant factor for auto loans? That would be a rather large factor right there in those higher rates.


This gives me some persepective on the Cap1 issue.  But it still boggles my mind that I see other people with way worse FICO's getting far better terms.  I would be interested in SP'ing another app at another lender.  However, the only other one that I am aware of is PenFed and I am not a member there.  I heard that NFCU (which I do have) offers SP auto loans to compare rates.  But I can't confirm that.

 

I am still confused on the variance of my auto scores.  It makes no sense to me that there is nearly a 60 point swing between scores when there are no derogs on my reports.

Message 8 of 13
Beefy1212
Established Contributor

Re: I am so confused by my FICO Auto Score 8 Scores

@precision  50-60 point changes are fairly common on the industry enhanced scores... They all have a slightly different algorithm.

F76AE378-4CCF-43CB-9D48-6FD6C8C44AF4.jpeg

 

2199C92F-2CB8-4BC2-BA80-158F8616B88D.jpeg

Just a hunch those 2 inquiries you spoke of are on ex right? The important thing is you know your best scores now look for a lender that uses that score.



Message 9 of 13
Lou-natic
Established Contributor

Re: I am so confused by my FICO Auto Score 8 Scores


@precision wrote:

 

no auto loans since 2008 

 


This is why your auto scores are lower! Auto scores rely more heavily on information from auto loans and you haven't had one in so long that it probably isn't even listed on your credit reports anymore. My auto scores are higher than my normal FICO scores but I have two paid off auto loans and 2 ongoing auto loans reporting. The industry scores rely more heavily on industry specific metrics, if you have no/fewer of those metrics in your report to draw from then that will hurt you.




3/4/23



Message 10 of 13
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