Why Your Credit Scores at the Three Bureaus Are All Different
J Thoendell stashed this in Personal Finance
Usually, your score at the three major bureaus—TransUnion, Equifax, and Experian—should be relatively similar. But they can vary, sometimes by quite a bit, depending on what kind of info the bureau has on you. Credit expert Gerri Detweiler elaborates:
“Since creditors aren’t required to report to all three agencies, some may report to just one or two, for example. But more likely reason they are different is because each agency is using a different credit-scoring model to create the score, and each model may weigh information slightly differently.” For example, one scoring model might ignore all paid collection accounts, while another might ignore collection accounts where the original balance was less than $100, Detweiler said.
I was wondering why all the credit scores are different.
Now I know why: The three different agencies have different systems for keeping score.