What is VantageScore®?

There are three different major credit reporting agencies, Experian, TransUnion, and Equifax that maintain a record of your credit history known as your credit file. Your credit score is based on the information in your credit file at the time it is requested. Your credit file information can vary from agency to agency because some lenders report your credit history to only one or two of the agencies. Since the information in your file can change over time, your credit score also may be different from day-to-day. Different credit scoring models can also give a different assessment of the credit risk (risk of default) for the same consumer and same credit file.

The three credit reporting agencies, Experian, TransUnion, and Equifax created VantageScore® as an independently managed joint venture in 2006. Since then, the company has released five credit scoring models. The most commonly used scores are the VantageScore® 3.0 and VantageScore® 4.0 models with a score range of 300 to 850. A higher credit score represents a greater likelihood that you'll pay back your debts, so you would be viewed as being a lower credit risk to lenders. A lower score indicates to lenders that you may be a higher credit risk.