My Credit Plan BlogLatest News and Updateshttps://mycreditplan.org/BlogFive Important Questions to Know Following a Credit Scorehttps://mycreditplan.org/Blog/PostId/116/five-important-questions-to-know-following-a-credit-scoreUnreliable Credit ScoresSat, 11 Feb 2023 15:50:23 GMT<p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Everyone has some source to track a credit score. It could be online, a bank or credit union or a credit card company. With over 70 different credit scores marketed to consumers, answering these five questions will help you if your credit score is worth tracking.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">For more information, you can also go to the podcast available on Spotify and also Youtube, <b><i>The Drive to 850, Podcast 5: Why are Credit Scores so Different</i></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"><b><i></i></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"><b><a href="https://spotifyanchor-web.app.link/e/eN2qivmPkxb" style="color:#954f72; text-decoration:underline">https://spotifyanchor-web.app.link/e/eN2qivmPkxb</a></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Few credit scores have value while the vast majority of them have little to now value to any consumer. Why? Because no lender, insurer, or other financial service provider utilizes that particular credit score. They are often referred to as “Consumer Credit Scores.” The ones lenders use are called, “Lender’s Credit Scores.”</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">How can you define the difference?  That is the challenge for everyone. There are five questions to answer if you are tracking the correct information.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">First, What credit agency or credit bureau is proving the data to your credit score?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Is it Experian, or is it Equifax, or is it TransUnion? Know which credit bureau’s information is being used to generate that credit score.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Second, which credit score company is generating that score?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">There are five of them. FICO is the most know and recognizable credit score programmer. FICO is an independent company that created the first credit scores in 1995. There is also VantageScore. VantageScore is a consortium of the three major credit agencies: Experian, Equifax, and TransUnion. Experian, Equifax, and TransUnion have also created a credit score program that has been marketed to consumers. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Third, which credit score model is it that you are following? The following is a list of the credit scores that are offered to consumers with the number of credit scores offered from Experian, Equifax and TransUnion data:</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <ol> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> Classic FICO Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> NextGen FICO Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 8 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 8 Bancard Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 8 AutoScores (Multiple)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 9 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 9 Bankcard Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 9 AutoScores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 10 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 10 Bankcard Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> FICO 10 AutoScores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> VantageScore 1.0 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> VantageScore 2.0 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> VantageScore 3.0 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> VantageScore 4.0 (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> Experian Plus Scores (3)</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> Equifax Credit Scores</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> TransUnion TransRisk Credit Scores (3)</span></span></li> </ol> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">You dizzy now?  Which one are you following? Do you know? Are they all the same?  No! Do you need to follow all of them? </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Fourth, what is the range of the different credit scores. Some go to 850, others go to 900, and some even go to 990. Why does that matter? One score at 720 with a top score of 850 can mean something different than one that goes to 900. It changes the perspective of what excellent is.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Fifth, what lenders utilize which credit scores?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Companies try to hide this form consumers because if you knew that a particular score was not used by any lender, who would follow it? Experian says to get your FICO Scores at Experian.com. Great! But here are over 50 different FICO Scores and most are not used by lenders.  But Experian does not want you to know that. They are notorious for giving you a consumer FICO Score, and not a lender’s FICO Score.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">The following is a list of credit scores used by lenders and the top range of each credit score model.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Mortgage                    Classic FICO Scores (850)                    From Experian, Equifax & TransUnion data</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"> </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Auto Loans                  Classic FICO Scores (850)                    From Experian, Equifax & TransUnion Data</span></span></span></span></span></span></span></p> <p style="text-align:start; text-indent:0.5in; margin-left:96px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">    FICO 8 AutoScores (900)</span></span></span></span></span></span></span></p> <p style="text-align:start; text-indent:0.5in; margin-left:96px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">    FICO 9 AutoScores (900)</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Credit Cards               Classic FICO Scores (850)                    From Experian, Equifax & TransUnion data</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">                                   FICO 8 Bankcard (900)</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">                                   FICO 9 Bankcard (900)</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">FICO 9 (850) is also utilized by some smaller banks and credit unions for their personal and other types of consumer loans. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">By knowing this information, you can better understand which credit scores your lenders are looking at when you apply for a loan. It is always better to know so you can protect your financial interests.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p>For more information, you can also go to the podcast available on Spotify and also Youtube, The Drive to 850, Podcast 5: Why are Credit Scores so Different</p> <p><a href="https://spotifyanchor-web.app.link/e/eN2qivmPkxb">https://spotifyanchor-web.app.link/e/eN2qivmPkxb</a></p> <p> </p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> 116Changes in the VantageScore Do Not Matter to Youhttps://mycreditplan.org/Blog/PostId/102/changes-in-the-vantagescore-do-not-matter-to-youUnreliable Credit ScoresFri, 19 Aug 2022 22:03:48 GMT<p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3">A few days ago, I did a radio interview with a nationally syndicated radio program. A question was asked about the impact as VantageScore would no longer count medical collections in their credit score. The hosts thought this <span style="caret-color: rgb(0, 0, 0);">would</span> be a big change. To the surprise of the hosts, I told them, “It doesn’t matter.” Why?</font></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Medical collections appear on roughly 10% of all credit reports and can drop a lender’s FICO score over a 100 points in no time and the damage can last for seven years until the medical collection drops off the credit report. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">However, recent changes to medical collections have been made. When medical collections are paid, they are no longer reported on the credit report. Second, medical collections under $500 will no longer be reported on the credit reports. Finally, a medical collection will only report on a person’s credit after one year from the time of service.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"><br /> The bigger issue is what lender uses the VanageScore for any loan approval?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"> </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Lots of crickets. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">So why does it matter if VantageScore is no longer going to count medical collections if no lender utilizes them for loan approval? VantageScore first needs to be utilized for loan approval before it will have any importance to you as a consumer.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="text-decoration:none">Until then, you don’t need to worry about any changes with your VantageScore.</span></span></span></span></span></span></span></p> 102Following Credit Karma Credit Scores can be a BIG Mistake for Every Consumerhttps://mycreditplan.org/Blog/PostId/78/following-credit-karma-credit-scores-can-be-a-big-mistake-for-every-consumerGeneralUnreliable Credit ScoresFri, 04 Feb 2022 21:47:34 GMT<p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Many realtors and brokers tell their clients to get their “Free” credit scores at Credit Karma to know their credit qualifications. The problem is, what is provided them from the Credit Karma Credit scores is never reliable.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Credit Karma provides a credit score created from the three major credit bureaus; Experian, Equifax and TransUnion. It is called the Vantage 3 score.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Lenders utilize the Classic FICO® Credit Score created by FICO. There is a difference between VantageScores and the Classic FICO Scores.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Here’s a look</span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"> </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>1st Question:</b> Does Vantage Scores look at lender types such as banks and finance companies?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>Answer</b>: No. FICO Scores do look at types of lenders. It is upwards of 10% in a FICO Score.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"> </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>2nd Question:</b>  Does FICO Scores follow the 30% utilization rule for credit card utilization?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>Answer:</b> No, Vantage scores do. Anything under 30% utilization gets the same credit score points. Stay at 30%, and your FICO Scores will drop.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b> </b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>3rd Question:</b>  Does Vantage Scores have the four levels of delinquency?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>Answer</b>: No. FICO Scores have four distinct levels of delinquency. A 60 day late payment </span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">drops a FICO Score more than a 30 day late payment. Vantage Score follows no such rule.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b> </b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>4th Question:</b> Does the Classic FICO Score have a 45 day window to check different lenders?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b>Answer:</b>  No. Classic FICO Scores have a 14 day window to check different lenders for </span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">the best rate / terms. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3"> </font></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3">As we can see, there are differences between the Vantage Scores and the lender's Classic FICO Scores that provide different results. There are more than four - there are dozens of differences<span style="caret-color: rgb(0, 0, 0);">. Even more deceiving, Vantage Scores can go up while your Classic FICO Scores could decline. Happens a lot.  </span></font></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3">For this reason, it is best NOT to follow Vantage Score on the Credit Karma website to gauge your credit worthiness.</font></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3"><span style="caret-color: rgb(0, 0, 0);">Only follow the lender's Classic FICO Scores as found at My Credit Plan.</span></font><br />  </p> 78An 84 point difference from what Experian.com® said!https://mycreditplan.org/Blog/PostId/74/an-84-point-difference-from-what-experiancom-saidUnreliable Credit ScoresFri, 29 Oct 2021 21:49:52 GMT<p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Jason pulled his FICO® score from Experian.com. It said 604. He showed that score to his real estate agent as he started looking for a house and she told Jason that he needed to improve his credit score before he could purchase a home. She referred him to a loan officer who helped consumers raise their FICO Scores. The loan officer then pulled his Experian FICO Score and it was 690.  What!?!?!</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">An 84 point difference between what Experian.com said and what his lender reported. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Thinking he would not qualify for a mortgage, Jason was depressed and was on the verge of giving up. 604 is what he thought his FICO score was. Knowing that he needed at least a 620 FICO Score, Jason felt hopeless. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:16pt">The Problem with Experian.com</span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Jason Discovered something very critical to his (and anyone’s) credit rating.  He was given a FICO Score that is substantially different, is not used by lenders, and misinforms many consumers.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">The Experian.com score is a “non-lender” FICO score called the FICO 8. Any consumer would be hard to find any lender who uses that particular FICO Score for their loan qualification. FICO has produced over 50 score models and most of them are not used by lenders. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3">Mortgage lenders use a FICO Score called the Classic FICO Score. As we all can see there is almost always a difference, and too often, this difference misleads consumers.  It can be very costly not knowing your actual <span style="caret-color: rgb(0, 0, 0);">lenders</span> FICO Scores.</font></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3"></font></p> <p style="text-align:start"><font color="#000000" face="Calibri, sans-serif" size="3"></font><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:16pt"></span></b></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:16pt">84 Point Difference</span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">84 point difference is huge. Any difference is misleading. Just because someone says they are offering a FICO score gives no value to that number. You must look for the Classic FICO Scores that mortgage lenders use. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Classic FICO Scores are found at www.MyCreditPlan.org.</span></span></span></span></span></span></span></p> 74Why Do You Have to Pay to Get Your Lender's Credit Scores?https://mycreditplan.org/Blog/PostId/68/why-do-you-have-to-pay-to-get-your-lenders-credit-scoresUnreliable Credit ScoresSat, 06 Mar 2021 00:14:42 GMT<p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Can You Check Your Lender’s Credit Scores for Free?</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">In short, the answer is “No” –</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Why do you have to pay some company to get your credit scores used by lenders?</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">It is the difference between lender’s credit scores and credit scores marketed all over the internet. I’ll explain.</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">There are dozens of websites to check some numerical generated three-digit number called a credit score – for free. However, these scores are based on different information in your credit report and calculated differently that the Classic FICO Scores most often used by lenders. These consumer-based credit scores are not used for your loan approval – in essence, they are not valued by lenders! Go to Capital One, Credit Karma, Credit Seseme, or any other website offering “Free” Credit Scores. </span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Don’t be fooled. These so-called credit scores offered ARE DIFFERENT and they have no impact to your loan approval by lenders – even to Capital One and other lenders who offer these "Consumer credit scores". Many lenders offer you a consumer-score to track – and then use a completely different lender-based credit score for your loan approval. In the industry, they are known as Vantage scores and consumer-based FICO scores.  </span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">They are called “Consumer credit scores”.</span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">On the other hand, lender’s credit scores are different. There are only a couple of places you can get the same credit scores use by lenders for most loans – and they are not free. There is a value to these scores and the companies know that. So, they charge you to know them. </span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Why do they offer you these "Consumer credit scores"? They want you to think they are offering you something of value -- when in </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><font color="#000000"><font face="Calibri, sans-serif"><span style="font-size:14.666666984558105px">actuality, they are not. It would cost the lenders a lot of money to provide you the real lender's FICO Scores.</span></font></font><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">To get all three lender-based FICO scores, you must go to MyFICO.com or here through My Credit Plan. With My Credit Plan, it can give you solutions to improve them.</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Don’t you want accurate credit scores?</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Get the same credit scores as lenders use for mortgage, auto loans and credit card approvals – at My Credit Plan.</span></span></span></span></span></span></span></span></p> <p style="text-align:start; margin-bottom:11px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">To get the correct lender credit scores, you’ll have to pay for them. Remember, if something is for free, most consumers will discount that product as less valuable. You should not follow them either. </span></span></span></span></span></span></span></span></p> 68Is Skipping a Loan Payment a Possibility?https://mycreditplan.org/Blog/PostId/43/is-skipping-a-loan-payment-a-possibilityUnreliable Credit ScoresWed, 18 Mar 2020 21:54:00 GMT<p>With the economy teetering from to the coronavirus, many consumers face declining income from lost hours and even losing their jobs. Some inquire about the possibility of skipping loan payments on their homes or auto from the loss of income. Is this a possibility – and will it impact your credit report / FICO® scores? <br />  <br /> Let’s take a closer look.</p> <p>Whenever payments are skipped, it can be considered a missed payment, even when the lender agrees to your request to skip a payment. As a result, a 30 day late payment can be reported on your credit report dropping your credit scores. There is a lot of variance by lenders if they report a late payment. Too often I have heard consumers complain that their lender agreed to allow them to miss a payment, only to have it report as late on the credit report. This is the first concerned. </p> <p>The second concern can be utilization ratios on mortgages, student loans and auto loan payments. This concern is primarily an issue when the loan is a recently open loan. Take a $15,000 auto loan that was opened a couple of months ago. The balance on this loan is usually right under the initial loan amount of $15,000 -- say $14,700. When payments are skipped, the interest on this loan continues to accrue and increase the balance past the initial loan amount - say $15,500. Whenever a loan has a balance in excess of the initial loan amount, it drops the consumer's credit scores.</p> <p>Add a late payment to that high balance of $15,500 and the FICO scores drop even further.</p> <p>For this reason, skipping any payments even if the lender agrees to it, carries additional risks to your credit rating. It is best to ask questions to your lender before you agree to any possibility of skipping loan payments. You should ask if late payments will be reported and how your loan balance will be reported.</p> <p> </p> <p> </p> <p> </p> <p> </p> 43One Credit Score Goes Up, All Credit Scores Go Up - Right?https://mycreditplan.org/Blog/PostId/34/your-vantage-score-improved-so-your-fico-score-has-improved-wrongUnreliable Credit ScoresThu, 23 Jan 2020 00:42:00 GMT<p style="margin: 0in 0in 8pt; text-align: start;"><span style="-webkit-text-stroke-width: 0px; font-size: 11pt;"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="line-height: 15.693333625793457px;"><font color="#000000" face="Calibri, sans-serif"><span style="caret-color: rgb(0, 0, 0); font-size: 11pt;">Many incorrectly believe as long as your </span><span style="caret-color: rgb(0, 0, 0); font-size: 14.666666984558105px;">Credit</span><span style="font-size: 11pt;"> Karma (Vantage) and other </span><span style="font-size: 14.666666984558105px;">consumer</span><span style="font-size: 11pt;"> scores go up, your FICO Scores improve. That seems to make common sense. However, in a U.S. government survey, it was determined that Vantage Scores go up quite often while FICO scores go down. It has been documented many times to see there are substantive differences that show Vantage Scores improving </span><span style="font-size: 14.666666984558105px;">while</span><span style="font-size: 11pt;"> FICO scores </span><span style="font-size: 14.666666984558105px;">decline</span><span style="font-size: 11pt;">, and vice versa. This issue makes the Vantage Score and other consumer credit score models </span></font></span><font color="#000000" face="Calibri, sans-serif"><span style="font-size: 14.666666984558105px;">unreliable for consumers.</span></font></p> <p style="margin: 0in 0in 8pt; text-align: start;"><span style="line-height: 15.693333625793457px;"><font color="#000000" face="Calibri, sans-serif"><span style="caret-color: rgb(0, 0, 0); font-size: 11pt;">How is that?  The differences fool many consumers.</span></font></span></p> <p style="margin: 0in 0in 8pt; text-align: start;"><span style="line-height: 15.693333625793457px;"><font color="#000000" face="Calibri, sans-serif"><span style="caret-color: rgb(0, 0, 0); font-size: 11pt;"> </span></font></span></p> <p style="margin: 0in 0in 8pt; text-align: start;"><strong><span style="line-height: 15.693333625793457px;"><font color="#000000" face="Calibri, sans-serif"><span style="caret-color: rgb(0, 0, 0); font-size: 11pt;">FICO Scores versus Vantage Scores</span></font></span></strong></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There are some similarities.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Have a 30-day late payment, both Vantage and FICO credit scores will decline. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Have a lender’s “hard” inquiry and both Vantage and FICO scores will decline. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Pay down $1,000 on a $10,000 credit card balance and Vantage and FICO scores will both improve.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There are many instances however when the FICO and Vantage scores go in different directions</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Open a new loan and a Vantage Score can decline, while the FICO score increases.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Pay off a Discover $100 credit card balance and your Vantage Scores increase, but the FICO scores decline. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong> </strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong>Using the Same Credit Information</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Vantage Scores state they use the same credit information as FICO Scores to determine their Vantage Scores. As you can see, this is a half-truth. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Vantage Scores are based on your Experian credit report for your Experian Vantage Score, based on Equifax for your Equifax Vantage Score, and based on TransUnion for your TransUnion Vantage Score. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">FICO Scores also use Experian, Equifax and TransUnion credit reports to determine your Experian, Equifax and TransUnion FICO Scores respectively. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">That is where their truth ends to state that Vantage Scores use the same credit information as FICO credit scores. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">FICO Credit Scores also look at additional information in your credit report that Vantage Scores do not consider. FICO credit scores look at your credit card usage with banks and national credit card companies, and loans with high-risk lenders such as payday lenders and finance companies. FICO Scores measure medical collections differently than Vantage Scores. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">An entire book could be written to identify all the differences between Vantage Scores and FICO Scores.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin: 0in 0in 8pt; text-align: start;"><span style="line-height: 15.693333625793457px;"><strong><font color="#000000" face="Calibri, sans-serif"><span style="caret-color: rgb(0, 0, 0); font-size: 14.666666984558105px;">What Should You Do? </span></font></strong></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Bottom line: Do not rely upon any Vantage Score movement as an indicator of your FICO Credit Scores improvement or decline. Vantage Scores are just unreliable when trying to track your lender’s FICO Classic Scores – the scores your mortgage (and most credit card and auto) lenders use. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Make sure you track your Classic FICO Scores to get an accurate indicator the direction your lender’s FICO scores are moving. You can access your Classic FICO Scores through My Credit Plan.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> 34You are Given One Number, and then Your Lender Uses an Entirely Different Numberhttps://mycreditplan.org/Blog/PostId/33/lenders-give-you-one-score-and-then-judge-you-with-a-different-scoreUnreliable Credit ScoresThu, 09 Jan 2020 22:52:35 GMT<p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">“We are doing what?” was the elevated response from a vice-president of a major credit card company.  She had just discovered that her employer was providing a simulated consumer credit score to their clients, while using a lender’s FICO® credit score to approve credit cards for their clients. The two scores are always different. Lenders want to demonstrate that they are trying to educate their clients about credit scores by providing them with an unrelaible "non-lender consumer" score. However, For example, Tom’s lender provided him a score of 803, while his Classic FICO® score was 711. That’s a big problem which such lenders don’t want you to know.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong>W</strong><strong>h</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong>y do </strong><strong>lenders</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong> do</strong> <strong>t</strong><strong>his to cons</strong><strong>um</strong><strong>ers?</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong> </strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Hundreds of lenders will provide their clients a “consumer credit score” (such as Vantage Score) while using a FICO credit score to approve their loans, mortgages, and credit cards. This blog has previously highlighted the differences in the two scores – it can be startling. Look at  <em>“The Differences in Credit Scores”.</em></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong>Why do</strong><strong><strong> L</strong>enders Provide Misleadi</strong><strong>ng Information?</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">First, lenders want you to feel that you are getting something of value from them – even if they do not provide you with the same credit score for loan approval. Most of the time, lenders won’t let you see their FICO score so you will not know there is a difference between the one the lender discloses to you, and the on they use for credit card / interest rate approval.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Second, it usually does not cost lenders anything. Providing FICO scores to consumers can cost lenders a lot of money. Providing Vantage scores cost lenders little-to-no money. So, many lenders can disclose to you a non-lending credit score such as the Vantage score, and then check your FICO score when you apply for a loan or increase a credit limit. As the same vice president of a major credit card company said, “That is bait and switch.”</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><strong>What le</strong><strong><strong>n</strong>ders do this?</strong></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There are many. Here are a list of some of them:</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Capital One </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">American Express </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Chase</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">USAA Bank (Has recently stopped doing it)</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">One Main Financial</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">US Bank</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Wells Fargo Bank <em><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">(Has recently stopped doing it)</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></em></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">I would not track your credit scores through such entities. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin: 0in 0in 0.0001pt; text-align: start;"><font color="#000000" face="Calibri, sans-serif" size="3"><span style="caret-color: rgb(0, 0, 0);">Why is My Credit Plan so important to you as a consumer? It provides the same Classic FICO Scores used in all mortgage, and by most auto and credit card lenders. This is where you can get the correct information. This is also why there is a small cost associated with providing you with the correct information / scores. </span></font></p> <p style="margin: 0in 0in 0.0001pt; text-align: start;"><font color="#000000" face="Calibri, sans-serif" size="3"><span style="caret-color: rgb(0, 0, 0);"></span></font></p> <p style="margin: 0in 0in 0.0001pt; text-align: start;"><font color="#000000" face="Calibri, sans-serif" size="3">Don't you want to know the actual scores used by lenders? Most people would.</font></p> <p style="margin:0in 0in 0.0001pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> 33The BIG Problem Credit Karma Does Not Want You to Knowhttps://mycreditplan.org/Blog/PostId/29/the-big-problem-credit-karma-does-not-want-you-to-knowUnreliable Credit ScoresWed, 04 Dec 2019 18:55:00 GMT<p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">Credit Karma tells everyone to get their free Credit Karma credit scores. You think that is good. Actually, it is not. </span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">All mortgage lenders and most auto lenders require Classic FICO® scores. Credit Karma provides “Vantage” scores based on a different scoring program. All mortgage lenders (and most auto lenders) require Classic FICO Credit Scores that follow precise guidelines for loan approval, determine your interest rates and loan fees - all from the Classic FICO scores. Vantage Scores do not give the same precise numbers lenders require from the Classic FICO Scores. That is where the problem with Credit Karma starts.</span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span style="font-family:"Calibri",sans-serif"></span></span></span></p> <p style="margin:0in 0in 8pt"><strong><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">Credit Karma Misinformation</span></span></span></strong></p> <p style="margin:0in 0in 8pt"><span style="line-height: 107%;"><span calibri=""><span style="font-size: 11pt;">Credit Karma states in its Terms and Conditions, </span><i style="font-size: 11pt;"><u>“We provide you with free credit reports and scores from two major credit bureaus…”</u></i><span style="font-size: 11pt;">  - from Equifax and TransUnion. They provide their own credit scores, that are often </span><span style="font-size: 14.666666984558105px;">considerably</span><span style="font-size: 11pt;"> different from your lender's FICO Classic credit scores. </span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">In a survey at a university class, several students went to Credit Karma and requested their “Vantage Credit Scores” and then they requested their Lender’s Classic FICO Scores. Here are the results:</span></span></span></p> <p style="margin:0in 0in 8pt"> </p> <table align="center" border="1" cellpadding="1" cellspacing="1" style="width: 800px;"> <caption>The Difference between Credit Karma and (Lenders) FICO Classic Scores</caption> <thead> <tr> <th scope="col">Name</th> <th scope="col">Credit Karma</th> <th scope="col">FICO Classic Credit Scores</th> <th scope="col">Difference</th> <th scope="col">Change in $350,000 Mortgage </th> </tr> </thead> <tbody> <tr> <td style="text-align: center;">Curtis</td> <td style="text-align: center;">729</td> <td style="text-align: center;">682</td> <td style="text-align: center;">- 47</td> <td style="text-align: center;">$137 Higher Mortgage Payment</td> </tr> <tr> <td style="text-align: center;">Shannon</td> <td style="text-align: center;">698</td> <td style="text-align: center;">720</td> <td style="text-align: center;">+ 22</td> <td style="text-align: center;">$137 Lower Mortgage Payment</td> </tr> <tr> <td style="text-align: center;">Spencer</td> <td style="text-align: center;">750</td> <td style="text-align: center;">777</td> <td style="text-align: center;">+ 27</td> <td style="text-align: center;">$41 Lower Mortgage Payment</td> </tr> <tr> <td style="text-align: center;">Breylin</td> <td style="text-align: center;">739</td> <td style="text-align: center;">703</td> <td style="text-align: center;">- 36</td> <td style="text-align: center;">$52 Higher Mortgage Payment</td> </tr> <tr> <td style="text-align: center;">Jordan</td> <td style="text-align: center;">816</td> <td style="text-align: center;">703</td> <td style="text-align: center;">- 113</td> <td style="text-align: center;">$149 Higher Mortgage Payment</td> </tr> </tbody> </table> <p style="margin:0in 0in 8pt">                                     30 year fixed, minimum down payment.</p> <p style="margin:0in 0in 8pt"> </p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">None of these individuals had Vantage scores that were close to the Classic FICO scores. All of them would have had to pay a different amount on a mortgage. </span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span style="font-family:"Calibri",sans-serif"></span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">What does Credit Karma say? They write in their Terms and Conditions:</span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span style="font-family:"Calibri",sans-serif"></span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:"><i>“CREDIT KARMA EXPRESSLY DISCLAIMS ANY LIABILITY FOR ANY ERRORS OR OMISSIONS IN OUR CONTENT OR OUR SERVICES, <u>INCLUDING THE INACCURACY OR INCOMPLETENESS OF ANY SUCH CREDIT REPORTS, (and) CREDIT SCORES.</u>”</i></span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span style="font-family:"Calibri",sans-serif"></span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">Really?</span></span></span></p> <p style="margin:0in 0in 8pt"><strong><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">Your Financial Costs</span></span></span></strong></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span style="font-family:"Calibri",sans-serif"></span></span></span></p> <p style="margin:0in 0in 8pt"><span style="line-height: 107%;"><span calibri=""><span style="font-size: 11pt;">If </span><span style="font-size: 14.666666984558105px;">you</span><span style="font-size: 11pt;"> have a 699 FICO credit score and your interest rate is lower with a 700 FICO credit score, </span><span style="font-size: 14.666666984558105px;">you</span><span style="font-size: 11pt;"> are not going to qualify for the </span><span style="font-size: 14.666666984558105px;">lower</span><span style="font-size: 11pt;"> </span><span style="font-size: 14.666666984558105px;">interest</span><span style="font-size: 11pt;"> rate for </span><span style="font-size: 14.666666984558105px;">those</span><span style="font-size: 11pt;"> with a 700 credit score. You are going to be given a higher interest rate or </span><span style="font-size: 14.666666984558105px;">fees </span><span style="font-size: 14.666666984558105px;">with a 699 credit score. So, i</span><span style="font-size: 11pt;">f lenders require a precise credit score to secure a certain loan approval, and determine your interest rate and loan fees, what is the purpose following Credit Karma and their </span><span style="font-size: 14.666666984558105px;">imprecise</span><span style="font-size: 11pt;"> Vantage scores? None whatsoever.</span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">If lender’s rates and fees require absolute precision to your credit scores (down to even a one-point difference), following Credit Karma’s imprecise Vantage credit scores will mostly cause you more confusion – and often a lot more money. This is what Credit Karma does not want you to know - there is no real value to your mortgage or auto loan to follow Credit Karma’s credit scores. It just could literally cost you thousands of dollars. Who wants that?  </span></span></span></p> <p style="margin:0in 0in 8pt"><span style="font-size:11pt"><span style="line-height:107%"><span calibri="" style="font-family:">The solution - go to My Credit Plan and follow your lender’s actual Classic FICO credit scores. You'll be accessing your lender's FICO scores.</span></span></span></p> <p style="margin:0in 0in 8pt"> </p> <p style="margin:0in 0in 8pt"> </p> 29Understanding the Differences in Credit Scoreshttps://mycreditplan.org/Blog/PostId/26/understanding-the-differences-in-credit-scoresUnreliable Credit ScoresWed, 06 Nov 2019 19:16:00 GMT<p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Understanding the Differences in Credit Scores</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">There are many credit score models available to consumers that provide different credit assessments based on the same credit information. How does that happen?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Creates a lot of confusion</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Got to CreditKarma.com and you get a 704 TransUnion credit score. Go to Experian.com and the TransUnion score shows a 687. Go to a mortgage lender and that same TransUnion score is a 671. </span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">What gives?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">There are two questions you need to answer.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">1. What credit score model do lenders use?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">2. Where do you find those credit scores?</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">FICO Classic Credit Scores</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">The FICO Credit Scores are used by most lenders. Here is a breakdown by the types of lenders:</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Type of Lender                        Percentage that Use Classic FICO Scores       Score Maximum</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Mortgage Lenders                                          100%                                       850</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Home Equity / 2<sup>nd</sup> Mortgage Lenders            100%                                       850</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Auto Lenders                                                  70%*                                       850</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Credit Card Companies                                   67%*                                       850</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Type of Lender                        Percentage that Use FICO 8 Auto Score model</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Auto Lenders                                                  30%                                         900</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Type of Lender                        Percentage that Use FICO 8 Bankcard Score model</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Credit Card Companies                                   33%                                         900</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">* Estimate given by credit bureau companies who provide credit reports and credit scores to lenders.</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Tracking Your Lender’s FICO Classic Credit Scores</span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">Where do you find the FICO Classic credit scores? There are only three places.</span></span></span></span></span></span></span></p> <ol> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> Lender</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> MyFICO.com</span></span></li> <li style="margin-left:8px"><span style="font-size:12pt"><span style="font-family:Calibri,sans-serif"> My Credit Plan or any 501 (c) (3) non-profit credit counselor.</span></span></li> </ol> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none">All other scores provided to you are inaccurate and too often provide misleading information. For this reason, it is best to follow your Classic FICO Scores through MY Credit Plan.</span></span></span></span></span></span></span></p> 26Those Credit Scores Online are Often Misleadinghttps://mycreditplan.org/Blog/PostId/7/those-credit-scores-online-are-misleadingUnreliable Credit ScoresMon, 07 Oct 2019 06:00:00 GMT<h2><strong>Why are those credit scores online different from the ones used by your lenders? </strong></h2> <p>Here is a very good CNBC story with Sarah O'Brien outlining the problem of following those "Free credit scores" online and how they mislead consumers and are unreliable. These scores are generated from a different program than the scoring system used by lenders for loan approval. </p> <p> </p> <h3>From <strong>"Don't be surprised if that credit score you see is not what the lender actually uses."</strong></h3> <h5>Earlier this year, pharmacy technician Curtis Webb thought his credit score was high enough to help him snag good terms on a mortgage.</h5> <h5>“It was close to 730. I thought it would help me get a good interest rate,” said Webb, 28, a Utah resident.</h5> <h5>“Then the lender came back with my actual score,” he said. “I was shocked.”</h5> <h5>The underwriter had checked Webb’s “classic” FICO score, which was more than 40 points lower than the score he’d been monitoring online. The lower score meant a higher interest rate, making the loan a more expensive prospect.</h5> <h5> </h5> <p>To read the rest of this article from Sarah O'Brien at CNBC, please click - or copy and paste - on the following link.</p> <h5><strong>https://www.cnbc.com/2019/09/12/dont-be-surprised-if-the-credit-score-you-see-is-not-what-lender-uses.html</strong></h5> 7