Credit score Q&A: “What is the Equifax credit score?”
I’ve mentioned time and time again that there are a great number of credit scoring models out there used by lenders to determine our creditworthiness.
And so that explains why you may come across different credit score providers, and why your credit scores probably won’t be identical if pulled from multiple sources.
After all, different companies will compile data in their own way and report it at different times, which can surely move a credit score up or down, depending on the data at hand.
One of the more popular consumer credit scores out there is the “Equifax credit score,” which is a proprietary credit scoring model issued by, you guessed it, Equifax.
In case you didn’t know, Equifax is one of the three major credit reporting agencies, along with Experian and TransUnion.
Equifax Credit Score Ranges from 280-850
But one main distinction is that the Equifax credit score has a credit score scale that ranges from 280-850.
This differs from the 300-850 range seen at Fico, and the 501-990 range seen over at VantageScore.
Other than that, the algorithm is pretty darn similar. A higher credit score signifies less default risk, and vice versa. So shoot for the stars folks.
It’s also worth noting that the Equifax credit score is a “consumer credit score,” meaning it’s only used for consumer tools and services, such as credit score monitoring and so forth.
Equifax Credit Score vs. Fico Score
Actual creditors and lenders won’t pull your Equifax credit score. Instead, they will use a Fico or VantageScore-based credit score to measure your default risk.
Assuming Fico is used to pull your Equifax credit score, which is more than likely, it will be referred to as your “Beacon Score.”
For the record, both Experian and TransUnion also have Fico-branded credit scores that are used by lenders to measure risk.
And because this score is issued by Fico, it will probably differ from your Equifax credit score.
However, the Equifax credit score is not a waste. It should serve as a strong indication of what your Beacon score will be.
In other words, if you have a good Equifax credit score, there’s a great chance that your Beacon score will be good as well. The opposite also applies.
So there you have it. As always, be sure you know what credit score you’re dealing with to properly assess your creditworthiness.
Read more: Are credit scores and Fico scores the same?
(photo: Robert Brook)