TransUnion Credit Score
The credit score is a numerical expression of a person’s overall credit risk. This score is marketed separately from the credit report, although some products offer both the score and the credit report in a single information package. There are different scoring systems in use, but the most popular is the FICO score developed by the Fair Isaac Corporation. The FICO score uses data from each bureau’s credit report to calculate credit risk.
In 2006, the three credit bureaus launched a new scoring system called VantageScore. This system was meant to rival the FICO system and reduce the discrepancies among the three scores. TransUnion markets the VantageScore directly to consumers, while selling the FICO score separately.
Although the scoring systems vary, the same factors come into play when calculating TransUnion scores. Payment behavior, depth or length of credit history, current balances, and public financial records (such as bankruptcy records and tax liens) are among the most influential factors. TransUnion offers advice on improving credit scores through its subsidiary, truecredit.com. Useful information can also be found on other affiliated sites, such as Experian’s Free Credit Report (freecreditreport.com), credit.com, Credit Report (creditreport.com), and myFICO (myfico.com).