FICO score - A complete overview
The term FICO is the short form of Fair Isaac Corporation, who built up the empirical model for credit score calculation. Hence the term FICO got coupled with the score they invented. FICO score is the most popular among all that prevail in the market. The credit system of the country is widely dependent on this model. This is a tool used by creditors to determine the creditworthiness of the consumers. So if one wishes to acquire more credit, it becomes mandatory to understand the system FICO uses, in details.
Three major credit bureaus of the country, namely Experian, TransUnion and Equifax, offer FICO scores, wrapped in their own trade names with hierarchy of versions. For example, Equifax offers Beacon, Beacon 96 and Pinnacle. Empirica, Empirica Auto 95, Precision Score and Precision 03 are calculated by TransUnion. And with Experian, we call it Fair Isaac Risk Score.
These versions are changed and updated according to the market trends. However, few creditors and lenders sometimes prefer using the older version, which they think to be most accurate.
The variables used in your FICO Score calculation
It is needless to say that the exact formulae behind the credit score calculation is a trade secret. However, Fair Isaac has revealed few factors that play significant role in the calculation -
|
If above points are split, millions of other factors would become visible. Say for example, the word, payment history says nothing if the consumer passed through a judgment or filed bankruptcy. Payment history merely means how much punctual an individual is when it comes to paying their bills. But events like judgment, bankruptcy and foreclosure push credit score down the slope. Similarly, numerous credit card accounts might restrict score from going up. Also the term type of credit is not sufficient to describe the saturated credit mix.
Computing FICO score is a statistical method because statistical reports are more believable than speculative data. The FICO scoring system compare all the above information with different pre-experienced results and the score is awarded at last. These are something that requires extensive research and skill. Interact with the community to inspect more on FICO.
Fair Isaac has developed scoring model for United States, Canada and South Africa. However, there is another version "Global FICO"? made for many other countries. A new system, which is going to offer a new score, known as VantageScore, has thrown a challenge to FICO. The old adage "The only constant in the universe is change" is true for everything, however, which one would stand the thrust of time is still a question.
I am actually about ready to pull another free report. I have an old debt that is suppose to humpty-dumpty itself this month. Report says Aug. 08 so I am gonna give it a week or so and see. I have not a clue my credit score. I don't think I have EVER known it.
Last time I seen my score it was terrible, below 500, I think if anything it should have improved by now.
Well your hard work and efforts will someday pay off. It may seem a while down the road but all roads do end eventually.
How frequently should we check our FICO score?
na
Yo momma..does that mean non applicable? I see you are new here. Welcome to the communoty and we look forward to posting with ya. I think you will find lots of info to learn and people to help. If you need anything let us know.
How frequently should we check our FICO score?
Quarterly, unless you're planning a major purchase... Then monthly.
Hi Doc
Even if you make a major purchase in your credit card, it is not necessary for you to check your credit report monthly if you make the minimum payments regularly. But if you miss your payments, then there is a good chance that the account may be listed in your credit report as delinquent. Making monthly checks will cost your much. What you can do is to check your credit report free by pulling one every four months from one of the three credit bureaus.
I agree Justin. We all need to use those free pulls that are given to us. I would have to agree with Doc about the monthly checking for any major purchase you may be thinking of making in the future. Something like a house, other property or even a car would be good reasons to check. Its better to make sure no surprises pop up when the lender pulls your credit report.
How frequently should we check our FICO score?
I am a Hurricane Katrina evacuee who was duped into putting $8,000 down on a used 2005 Malibu that cost $13,500. Then I was to pay $393/month for 60 months. Well, I lost my job which required that I take a good look at my finances & debt. When it was explained to me that I would be paying $31580 for a car I thought I owed only $5500 after the downpayment. I used all of my money for the downpayment. I am still unemployed and learned that the loan was discharged 08/2008.
What does this mean & what should I do?
Also, my identity has been stolen 3 times, including from the Veterans Administration and my bank
How frequently should we check our FICO score?
as you know that fico score is dependent in your credit report so whatever changes in the credit report, the score is recalculated. There could be a lot of changes that will be made in your credit report in three months time so it would be best if you'd be able to check your credit report and your score quarterly.. who knows if you had excellent score and then it would suddenly go down without you knowing it if you will still have to wait for a year to check it out.
How frequently should we check our FICO score?
Your credit can change daily. We should all have access to any updates on our credit file. There are plenty of websites like truecredit and Privacy Matters that are very good for keeping up with updates.
What I think is that until and unless you have any negative item listed in your credit report, your credit score will not fall and so you can check your score whenever there is a negative item in your report. Checking your credit score is not free and so you can check your score every 4 months.
How frequently should we check our FICO score?
I would like to check my FICO score Quarterly.
How frequently should we check our FICO score?
would be great of you could check your score monthly as your credit report updates, your score also updated bec your score is solely dependent on your credit report
Hi Naomi
Since FICO score does not come free of cost and you have to pay for it, I think that we should check our credit score quarterly or only if we are about to apply for a new line of credit. However, you can keep track of your credit report and find out whether any negative items got listed in your report or not. Now since, one credit report is free each year, we can apply one every 4 months from any of the three bureaus absolutely free and fix any incorrect listings there.
What I would like to know if anyone can answer is where there is a safe site to check your score. I have read several posts where they want you to give your credit card number and then they continue to take out monthly payments and it is hard to get stopped. Whatever fee they charge is what they keep continuing to charge.
Also if you were going to check your score which one of the three would be the best one to check?
How frequently should we check our FICO score?
I would like to check my FICO score quarterly.
How frequently should we check our FICO score?
you have to treat your fico like a business. knowing where you are allows you to move forward, quickly. by disputing items in a timely keeps your credit report clean and ready to go.
I think that we should check our FICO score only before applying for a new line of credit because unlike credit report which comes once a year free of any charges from the three major credit bureaus, FICO score is chargeable. However, I think that we should check our credit report frequently and dispute any listings with the bureaus.
KdIpBPkBdVpcfw
gNNs6c Thanks for sharing, this is a fantastic article post.Much thanks again. Really Great.
Meet the guy
Meet a guy to communicate and more
write I won't bite you +79967254947
boys write WhatsApp +79967254947
boys write WhatsApp +79967254947
boys write WhatsApp +79967254947
My Score increased to 160 in less than 1 month
You guys have surpassed my expectations! Hack West is seriously amazing and is doing everything to help my Fiancé and me, in 2 weeks my credit score went up 160 points and I can only imagine what is to come. Thank you for the excellent customer service and doing exactly what you all have set out to do! NO GIMMICKS OR BS with you guys. You can reachout to them via HACKWEST@WRITEME.COM / (424) 307 2638.
Credit Restore
"Words cannot express my gratitude nor Appreciation to Ghost Virus for he’s help." Sometime last year I was in a very terrible situation I was almost losing my house due to my poor credit outline. I reached out for help and searched online for a quick solution to my poor credit outline and to restore my life back without being kicked out of my apartment and suffering from so many things. I came across several reviews about Ghost how he helped a lot of persons with similar issue I was having. I contacted Ghost Virus (Ghostvirus789@gmail.com: +1 205 418 0498) for a quick solution explaining everything concerning my credit to him and I could really use he’s help he said okay and promised to help me fix my credit within 12 working days. My credit got fixed my score 395 was increased to a high 795 deleting all negative items and also increasing my credit limits and leverage. God bless you Ghost I’ll forever remain grateful to you Have a prosperous years ahead of you thanks. Cherry Idaho Connecticut Happy Holidays
Credit Restore
"Words cannot express my gratitude nor Appreciation to Ghost Virus for he’s help." Sometime last year I was in a very terrible situation I was almost losing my house due to my poor credit outline. I reached out for help and searched online for a quick solution to my poor credit outline and to restore my life back without being kicked out of my apartment and suffering from so many things. I came across several reviews about Ghost how he helped a lot of persons with similar issue I was having. I contacted Ghost Virus (Ghostvirus789@gmail.com: +1 205 418 0498) for a quick solution explaining everything concerning my credit to him and I could really use he’s help he said okay and promised to help me fix my credit within 12 working days. My credit got fixed my score 395 was increased to a high 795 deleting all negative items and also increasing my credit limits and leverage. God bless you Ghost I’ll forever remain grateful to you Have a prosperous years ahead of you thanks. Cherry Idaho Connecticut Happy Holidays