The new credit score system is actually easier, not to be confused with

Much has been written in recent years about the importance of credit reports and credit scores. Credit report is a list of all significant financial transactions in the consumer and whether these transactions are completed on time and as agreed. Score is a distillation of everything contained in your credit report, was a three-digit number. This figure is also a creditor or lender looks at a glance whether theThe consumer's case is an additional loan worth.

Only recently, the three major credit bureaus, Experian, Equifax and TransUnion, all with different but similar systems, credit score, which defines the lower end of 300 was developed at the upper end 850. Different systems meant that a consumer could be considered guests in each of the three credit information services, credit scores have been obtained. This led to confusion, which was the points"correct" one. Agencies have been trying recently, this problem by creating VantageScore, integrated assessment, which can be used for all three offices to be resolved. This should result in consumers receiving the same score, regardless of what Office offers.

But it is not quite complete, the confusion of credit scoring. Unlike the old systems 300-850 range, VantageScore uses a different scale, which ranges from 501-990. In addition, numerical score,VantageScore system is also writing class from the AF, as follows:

+901- +990 --

801-900 - B

701-800 - C

601-700 - D

501-600 - F

Now has changed to cause confusion. Many people are wrong to assume that one of the guests moved from the old to the new system. This is how they think that the low from the top high score 700 and 80, according to the old system is now just "average" amongthe new. How do people ask if they can suddenly mediocre record?

The answer is, of course, that it is not, and the comparison of old and new systems comparison of apples and oranges. The new system is completely different and new criteria are used to create new Score from scratch. Is the value of the 800-series of the old system will almost certainly produce score of 900 areaAccording to a new one. Consumers have no reason to be concerned, and the time to understand the new system is better and easier than the old one. Since none of you say that you have done more good than it has been said that you have received "."