Facts About VantageScore
TrueCredit.com is introducing a new and improved way to help you manage your credit beginning on December 15. You’ll have access to three VantageScores as part of your membership – an easier and more effective way to understand your credit rating.
Unlike previous formulas, VantageScore was developed in 2006 by all three of the major credit bureaus-- TransUnion, Equifax, and Experian--to make your credit scores easier to understand.
The three credit bureaus developed VantageScore to give you a better idea of how lenders view you and to make sure bureaus and lenders are more consistent with scoring.
Consumer scores fall within a range of 501 to 990, with higher scores representing a lower likelihood of risk to lenders that consumers won’t pay back their debts. Along with your VantageScore, you’ll receive a letter grade (A-F) to help you assess more easily how lenders view you and how you compare with other consumers.
Frequently Asked Questions
Why is TrueCredit.com changing to VantageScore?
TrueCredit.com believes that offering the three VantageScores will help you better understand your credit rating.
Will I have to pay more to receive all three scores?
No. TrueCredit.com’s monthly subscription rate will remain the same even though you will now receive all three scores and corresponding letter grades.
How is my current score different from the VantageScore?
Until now, TrueCredit.com provided subscribers with their TransRisk score. The main difference is the score ranges. The TransRisk formula generates your credit score between 300 and 850 while VantageScore’s score range is 501 to 990. Think about it another way: If it is 32 degrees Fahrenheit outside, it is also 0 degrees Celsius. The temperature, or the likelihood of risk in this case is the same, but the measurement or range is different.
What are the advantages of VantageScore?
Because VantageScore was developed by all three credit reporting bureaus working together, you will have a more consistent understanding of how you may be viewed by lenders. Additionally, along with your VantageScore, you will receive a corresponding letter grade (A-F) to help you get a better idea of what your score means.
If the formula is consistent across the three credit reporting bureaus, why do I still have three VantageScores?
While the three credit reporting bureaus can now generate scores using the same credit scoring model, you may see differences in the actual scores because each bureau maintains its own consumer credit files, which may vary. Your files with each one may be different because lenders can choose which bureau to report to.
Why are there different types of credit scores?
While you may not realize it, lenders use many different credit scoring formulas to help them make decisions about extending credit. The three credit reporting bureaus developed VantageScore to help you gain a better understanding of what your score actually means and to help ensure consistency across bureaus and lenders.
