Does this sound right?:
Most of the sites reporting TransUnion Vantage Score 3.0 had me @ 751 score. Over 10 CCs, utilization around 9%. However, one of the cards I recently got (WF Propel) I was using a lot because of car repair and now a report on Wallet Hub using TransUnion Vantage Score 3.0 dropped me to 725 because 1 of my accounts (Propel) is @ 80% utilization. Seriously? combined cards are 9% util but because one of my cards is 80% util, I get hit with a 26 point drop? Doesn't seem right (or fair) if you ask me.
Your thoughts?
Sounds about right. High individual utilization can impact score.
However, FICO scores is usually what matters for the majority of lenders.
It absolutely matters. Although you're looking at VS, the same will ring true for FICO. You could have 30 cards at 0% and 1 card at 80% and it's going to have a negitive impact.
% o%Ficoproblems247 wrote:It absolutely matters. Although you're looking at VS, the same will ring true for FICO. You could have 30 cards at 0% and 1 card at 80% and it's going to have a negitive impact.
OP, many people don't like the response but due to the less than 10% of creditors, likely lesser use Vantage scores, not many people put a lot of energy trying to figure out data points for changes with Vantage. A different algorithm/formula than FICO produces different reactions to activity and creates different scores. I wouldn't worry much about trying to figure out why, what, when things happen with Vantage scores. Not many people do when they understand over 90% of creditors are using your FICO scores (one of the many models) to determine if they will lend/extend credit and at what interest rate. Until there's proof a vantage score is used frequently and definitely greater than 10%, it's likely there won't be much research, therefore answers to the impact of actions on Vantage scores changes. I do know Synchrony has recently started using V4 scores I'm not aware of any free site or even the majority of CC companies that offer a Vantage score, who use any Vantage score model. Most of the credit card companies that offer free Vantage scores use FICO scores when apping. They're just complying with changes to offer "a" score.
One thing some people fail to realize is that individual utilization matters too. And yes, it will drop your score (regardless of whether it is Vantage or Fico). However, the good news is that it is temporary. I realize it can be a bit of a shock to see that drop initially, but once you pay it down (or pay it off), you'll regain the points. I wouldn't stress about it at all. It only really matters when you're applying for something.
@AllZero wrote:Sounds about right. High individual utilization can impact score.
However, FICO scores is usually what matters for the majority of lenders.
So ideally, it's more important to have a higher FICO score than any version of the Vantage Score, is that correct?
@Wavester64 wrote:
@AllZero wrote:Sounds about right. High individual utilization can impact score.
However, FICO scores is usually what matters for the majority of lenders.
So ideally, it's more important to have a higher FICO score than any version of the Vantage Score, is that correct?
Yep. If Vantage is not being used by creditors than it's mean little if anything in the big picture. Just seeing it go up was encouraging when I started by rebuild and didn't know the difference. So it can be encouraging to see it go up, but I wouldn't worry about it going down if you know where you stand with FICO. FICO is the one (or several ones) to focus your attention and energy.
