Why credit scoring

A VantageScore is one of many types of credit scores. You may be surprised to learn you don't have just one credit score. Learn more about some basics when it comes to credit scores. Read more about how FICO scores are calculated. Higher credit scores mean you have demonstrated responsible credit behavior in the past, which may make potential lenders and creditors more confident when evaluating a request for credit.

Why might your credit scores differ when you check them vs. There are a few possible reasons. Refinancing your mortgage can be a great way to lower your interest rate and reduce your monthly mortgage payment, but it can also impact your credit scores. Your credit scores can play a role in buying a home, getting a job or getting a loan.

Take our quiz to see how much you know about credit scores. Thinking about purchasing a home? It's important to know the role your credit scores can play in the home buying process. Different lenders may also have different criteria when it comes to granting credit, which may include information such as your income. The types of credit scores used by lenders and creditors may vary based on their industry.

Credit scores may vary according to the scoring model used, and may vary based on which credit bureau furnishes the credit report used for the data. That's because not all creditors report to all three three nationwide credit bureaus — Equifax, Experian and TransUnion. Some may report to only two, one or none at all. In addition, lenders may also use a blended credit score from the three nationwide credit bureaus.

A VantageScore is one of many types of credit scores. No credit card required. All information, including rates and fees, are accurate as of the date of publication and are updated as provided by our partners. Some of the offers on this page may not be available through our website. Offer pros and cons are determined by our editorial team, based on independent research. The banks, lenders, and credit card companies are not responsible for any content posted on this site and do not endorse or guarantee any reviews.

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Other product and company names mentioned herein are the property of their respective owners. Licenses and Disclosures. Advertiser Disclosure. Types of Credit Scores A credit score is a number lenders use to help them decide how likely it is that they will be repaid on time if they give a person a loan or a credit card.

There are primarily two types of credit scores, generic scores and custom scores: Generic credit scores are used by many types of lenders and businesses to determine general credit risk. Understanding Credit Score Factors and Improving Your Credit Scores The elements from your credit report that shape your credit scores are called credit score factors.