![]() Because payment history is such an important piece, late or missed payments can have a significant overall impact on your credit score. Your payment history, or how consistently you are paying your bills on time, is the biggest factor in your credit score. Payment history (extremely influential).There are six categories that go into calculating your VantageScore - payment history, credit utilization, age and type of credit history, the amount you owe and recent credit behavior - and each carries a different level of influence when determining your score. Each nationwide bureau using this one credit score model is a unique aspect of VantageScore and leads to more consistency across bureaus than other models. This means that, because your credit files often differ between reporting agencies, your VantageScore 3.0 may look slightly different from one credit reporting agency to another. Each CRA uses the same formula created by VantageScore, but bases the information it measures on your unique credit file with each organization. VantageScore 3.0 is a popular credit scoring model available at all three of the major credit reporting agencies. Created in 2013, this model ranges from 300 to 850, with a higher score indicating a lower risk for lenders. One score model is the VantageScore, which is the only “tri-bureau” credit scoring model available at all three nationwide credit reporting agencies. However, it's also important to know that you don't only have one credit score - there are different scoring models that lead to different numbers, and the three nationwide credit reporting agencies or CRAs (Equifax®, Experian®, and TransUnion®) will also often show slightly different scores based on which information is reported to them by your lenders. Credit scores are important because they are designed to indicate your credit risk, or how likely you are to pay your bills on time and can affect everything from renting an apartment to getting a car loan. The VantageScore 3.0 strengthens predictive ability, so lenders can more accurately determine how reliable of a borrower a particular consumer may be.Ĭredit scores are calculated based on the contents of your credit reports, which may include your payment history, credit utilization, credit mix, and more.Six main categories go into calculating your VantageScore: payment history, credit utilization, age and type of credit history, the amount you owe, and recent credit behavior.VantageScore 3.0 is available at all three of the nationwide credit reporting companies, making it a reliable and consistent option.
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