CCT Changing Score Model?

[Anonymous]

I just refreshed my CCT report... It now says "PLUS Score". What is that?

[Anonymous]

That makes two of us. Front page say FICO, but scores say PLUS. I emailed them to get an answer but haven't heard back yet.

[Anonymous]

Found this online:

The difference between PLUS scores and FICO scores

Dear Experian,

What is the difference between a “Plus” score and a “FICO” score? On a June credit report from Experian my Plus score was 790 (330-830), while my FICO score with Experian was 889 (300-850). I realize both scores are excellent, but I would like to understand it further.

- DRA

Dear DRA,

The Plus score and the FICO score are two different scores developed by two different companies with two different scales.

The Plus score was developed by Experian Decision Analytics, the credit score developing business owned by Experian. The Plus score scale is 330 to 830.

FICO scores are developed by Fair, Isaac Corporation, hence the term FICO. There is not just one FICO score. Your question points out that fact very clearly. You can’t have a score of 889 if the scale only goes from 350 to 850.

Fair, Isaac Corporation specializes in developing credit scoring systems for lenders and other businesses. The original or “classic” FICO scores had scales that went from about 350 to about 850. The company’s newest scores, called the FICO Next Generation, or NextGen scores, have scales with a high score of 950, so that may have been the model that resulted in your score of 889.

In fact, there are many different credit scores used by lenders and other businesses, with a wide range of scales, some estimate more than 1,000. I’m often asked why there isn’t just one credit score. Cars make a simple, clear analogy.

Imagine two four-door sedans. They are about the same size, have the same number of doors, gasoline engines that produce about the same amount of power, four wheels and a steering wheel. So, why does a person choose one over the other? It is because of small differences in the designs that make one car better suited overall to their particular needs.

The same is true of credit scores. All credit scores use the same information from your credit report, but they treat the information slightly differently to meet the needs of the particular lender. You can have two different numbers that both indicate you are a very good credit risk because different models have different score ranges.

That is why I caution people to not get too caught up in the number. The number alone only has meaning to your lender and only to that particular transaction. The credit scores you receive online provide great educational value and give you a very good idea of how lenders will view your creditworthiness.

But, you can’t buy a score online, take it to a lender and expect the lender to use the score to approve your application. They simply can’t use the score you bring them to make a lending decision because they very likely use a different one – even if the score you purchased is from the same credit score developer.

Instead of the number, concentrate on where your score falls in the range of risk for that model and on the risk factor statements that accompany the scores. If your lender provided the scores, it also might be able to give you the risk factor statements that accompanied the scores. If you purchased the scores, you received a list of what from your credit history most influenced those scores.

Those risk factor statements describe what you must address in your credit history to become a better credit risk. You will likely find that a number of the statements are very similar if not identical from one score to the other.

Focusing on those issues from your credit history will help you improve your creditworthiness over time.

In your case, the statements won’t be of great significance and may indicate there is no one factor having a major impact. That is because your credit is very good and there is little room for improvement. You already qualify for the best rates and terms.

Simply having credit carries with it some risk, and that risk, however small, will be reflected in the scores you receive. That is why it is almost impossible to get a perfect credit score.

Thanks for asking.

- The "Ask Experian" team

So now we get FAKOs!

[Anonymous]

This sucks. I want my $1 back!!! lol. But if it is indeed some kind of lame Experian modeled score, they either need to fix their website or refund people their money. When you log in, your first page has "FICO" all over it, but when you actually check to see all of your scores, it changes to PLUS Score. Bait and switch/false advertising is not cool. I wonder how many other people logged in and noticed this?

[Anonymous]

Mine also says Plus score.

[Anonymous]

It's just a glitch.  They used to show plus scores before fico.  It happens randomly to people.  Happened to me yesterday at some point but also changed to fico.  Seems random.  Just a glitch with them.  I've neverbeen stuck seeing plus scores for more than one day.

[Thomas_Thumb]

Pasted below are sections of an article discussing Experian Plus Score relative to Fico:

Experian PLUS Score vs FICO Score: The Truth About Accuracy

by CreditCardGuru

What is Experian PLUS Score and how accurate is it? You may be surprised who offers what …

Dec. 2014 update: Experian has announced it is now providing monthly subscribers their Experian FICO score, rather than the PLUS score. The information below will remain for historical purposes.

Contrary to popular belief, when you check your credit score you may not be getting your FICO. Instead, chances are you receive a competing model. The PLUS Score from Experian is one such example ... And guess what? It’s not even used by creditors!

Before we talk about accuracy and usefulness, here’s a lowdown on the basics:

Scale: The Experian PLUS Score range is 330 to 830. This is close – but different – than FICO’s range of 300 to 850. 

Formula: Fair Isaac (creators of FICO) gives us quite a few clues as to the components which go into their formula and how much each (as a group) will impact your score. Unfortunately, Experian doesn’t provide a neat breakdown like this for their PLUS Score formula. On their website they do say it uses a “similar formula to those used by lenders” but it’s really anyone’s guess as to how their model weighs the pieces of information.

Good vs. Bad: So that brings us to the question, what is a good Experian Plus Score? And what is a bad one?

Well the median is exactly half way in the middle (50% higher and 50% lower). They say that 50% of the US popular is below a 724 PLUS Score.

I’m sure it’s no coincidence they structured it that was, being that the median for FICO is almost exactly the same at 723 (or at least, that’s what it was when FICO last reported the median publicly). So in the simplest terms, you could say that 724 and above is “good” on the PLUS Score by Experian. For “great” or “excellent” I would probably peg that at around the top 30% which is 757 and above.

Contrast that to FICO, in which I consider 780 and above to be excellent (have explained my reasoning for that number in previous posts).

Accuracy: Is PLUS Score accurate? Well, if you are trying to use this number interchangeably with your FICO… forget about it!

Unfortunately most of the forum reviews haven’t been positive because the two different scores can be wildly divergent. One person even stated their PLUS was 711 and their FICO was 658. However, others who have reported much closer score value, like 542 and 536. So as with many things, your mileage may vary.

Conclusion? Don’t try and convert an Experian PLUS Score to FICO.

But at the end of the day, should you even care?

Going back to the example shown at the top, remember what it said about the PLUS… that it was for “educational purposes” and not used by lenders.

It will probably give an approximation of the general type of credit you have (like good vs. great) but beyond that, this scoring model is of very little use. I wouldn’t care too much about it and even if you know your PLUS, you definitely still want to know your actual FICO score, as that’s still the score most lenders reference in their underwriting decisions.

(Mod Cut-Links to this site are not allowed on myFico, thanks for your understanding)

[takeshi74]

I don't use CCT so I haven't really been paying close attention but I have seen thread topics and this doesn't seem to be the first time it has happened.  Here's just one prior example:

http://ficoforums.myfico.com/t5/General-Credit-Topics/CreditCheckTotal/m-p/4226464#M217064

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@Thomas_Thumb wrote:

Experian PLUS Score vs FICO Score: The Truth About Accuracy

(Mod Cut-links to this site are not allowed on myFico)

---

The link provide mentions this but for those who want the tl;dr -- "accuracy" is not a matter of whether or not two different scoring models produce the same number.  All scores are accurate but only for their own model.  Different models use different algorithms that weigh report data differently.  One should expect different algorithms to produce different results.  On top of that, some models are on a different point scales.  Do not use a score generated by one model to determine a score generated by another model even if both models are FICO's.  If you want to know what your TU FICO 8 then pull your TU FICO 8.  If you want to know what your EQ FICO 5 is then pull your EQ FICO 5 and so on and so on.

[Anonymous]

I am considering leaving CCT in the dust.

[Anonymous]

Two days in a row 3B reports have PLUS Score...no change.