While the FICO® 8 model is the most widely used scoring model for general lending decisions, banks use the following FICO scores when you apply for a mortgage: FICO® Score 2 (Experian) FICO® Score 5 (Equifax) FICO® Score 4 (TransUnion)
While FICO Score 8 is the most common, mortgage lenders might use FICO Score 2, 4 or 5. Auto lenders often use one of the FICO Auto Scores. And credit card lenders can use the FICO Bankcard Scores.
In addition to the standard FICO score 8 or 9, mortgage lenders might use one of the following: FICO score 2. FICO score 4. FICO score 5.
FICO® and VantageScore® are the two most popular credit scoring models today. FICO and VantageScore credit scores are equally reliable and accurate, based on the specific scoring model that's being used. Tools are available that allow you to check and monitor your credit score for free, with no impact to your credit.
Your FICO Score is a credit score. But if your FICO score is different from another of your credit scores, it may be that the score you're viewing was calculated using one of the other scoring models that exist.
Though the FICO® Score 9 is an updated version of FICO® Score 8, the FICO® Score 8 is still the most widely used base score by lenders, meaning that, while you may have a better credit score from the FICO® Score 9 model, lenders are more likely to still use the previous version.
Your FICO score is a representation of your credit worthiness. FICO offers specific products and solutions for car dealers and auto loans. Their product is called Auto Score 8. As you can see here from FICO's promotional materials, Auto Score 8 is meant to help dealers, “Improve accuracy and speed of decision making.
What is the highest credit score possible? To start off: No, it's not possible to have a 900 credit score in the United States. In some countries that use other models, like Canada, people could have a score of 900. The current scoring models in the U.S. have a maximum of 850.
VantageScore. The VantageScore model—specifically Version 3.0 which is the most widely used—considers similar factors to the FICO score model.
Payment history (35%)
This is the most important factor in a FICO Score.
Less than 2% of Americans have a perfect credit score.
A perfect FICO credit score is 850, but experts tell CNBC Select you don't need to hit that target to qualify for the best credit cards, loans or interest rates.
FICO 8 is still the most widely used credit score today. If you apply for a credit card or personal loan, odds are that the lender will check your FICO 8 score. FICO 8 is unique in its treatment of factors such as credit utilization, late payments, and small-balance collection accounts.
The minimum credit score needed for most mortgages is typically around 620. However, government-backed mortgages like Federal Housing Administration (FHA) loans typically have lower credit requirements than conventional fixed-rate loans and adjustable-rate mortgages (ARMs).
Generally, a good credit score to buy a car falls within the range of 660 to 720 or higher. However, it's important to note that each lender has different criteria, and some may consider lower credit scores as well.
For other types of credit, such as personal loans, student loans and retail credit, you'll likely want to know your FICO® Score 8, which is the score most widely used by lenders.
Overall, Credit Karma may produce a different result than one or more of the three major credit bureaus directly. The slight differences in calculations between FICO and VantageScore can lead to significant variances in credit scores, making Credit Karma less accurate than most may appreciate.
While FICO 8 is the most widely used, newer versions of the score are available. For example, many lenders have upgraded to FICO 9. Unlike older versions, FICO 9 ignores paid third-party collections, places less weight on unpaid medical collections and factors in rental history when reported.
FICO® Score 8 is one of the most widely used FICO® Credit Scores and there's a good chance that your lender may use it too. For example, if you're trying to get a new credit card, personal loan, student loan, or retail credit, your FICO® Score 8 may be important.
Maxing out credit cards, paying late, and applying for new credit haphazardly are all things that lower FICO Scores. More banks and lenders use FICO to make credit decisions than any other scoring or reporting model.
New payment behavior is a common cause for credit-score fluctuation. Additionally, when making payments on an installment loan, mortgage or auto loan, you are decreasing the amount of overall debt. That could also cause an increase in your credit score.
The FICO® Score Online Banking provides is a FICO® Score 8 based on TransUnion Data. The score is from your TransUnion credit report and calculated on the "as of" date included with your score. Your FICO® Score may differ from scores provided elsewhere, if the other score: Was a different FICO® Score version.
However, its accuracy can vary based on several factors. Credit Karma uses VantageScore 3.0 from TransUnion and Equifax, which can differ from the FICO scores most lenders use. While it provides a useful estimate of your credit health, the scores on Credit Karma might be 20 to 25 points off from your actual FICO score.