Credit Scores (online companies uses a different scale?)

Imdmn04

Platinum Member
Jan 28, 2002
2,566
6
81
I just checked out my credit score annualcreditreport.com from TransUnion.

I got an 812. I am thinking great, then I looked at the scale, it is from 500 to 990. ( I thought 850 was as high as you can get. ) It said I am better than 59 percent of the population.
I don't have any outstanding loans or debts, no red marks. I thought I would have a little better credit than the 59 percent figure?

Anyways, what kinda interest rate can I expect for a new car with this score? I know the average is currently around 7 percent.


 

kranky

Elite Member
Oct 9, 1999
21,017
147
106
You got what's called a "Vantage score" which does go up to 990. The more traditional scoring system is called FICO and that's the one which tops out at 850.

Some things to look at are how long of a credit history you have and how many accounts are shown on your report. All of those affect your score. Since you say you have no outstanding debt (including zero balances on all charge cards?), these are the most likely things which are holding your score down.
 

Dulanic

Diamond Member
Oct 27, 2000
9,951
570
136
The ones from Transunion are usually what are called FACO scores or fake scores :) The real score is a FICO score which you can get from myfico.com and a few others. My FICO is 722 which is higher then 55% according to them, so I would say your score is 730-735ish which is good. If it is a new car loan 6.5% is not too far fetched, and you should be able to find some better APR offers if it is a new car.
 

Imdmn04

Platinum Member
Jan 28, 2002
2,566
6
81
Originally posted by: kranky
You got what's called a "Vantage score" which does go up to 990. The more traditional scoring system is called FICO and that's the one which tops out at 850.

Some things to look at are how long of a credit history you have and how many accounts are shown on your report. All of those affect your score. Since you say you have no outstanding debt (including zero balances on all charge cards?), these are the most likely things which are holding your score down.

I have balances on CC every month, but it is fully paid off before the grace period end every month.

I know there is this misconception where paying in full every month helps your score. I know it doesn't, but I didn't know paying in full will detract my score?
 

kranky

Elite Member
Oct 9, 1999
21,017
147
106
Originally posted by: Imdmn04
I have balances on CC every month, but it is fully paid off before the grace period end every month.

I know there is this misconception where paying in full every month helps your score. I know it doesn't, but I didn't know paying in full will detract my score?

The thing is, you don't know when the CC issuer is going to report your status to the credit bureaus. It could be two weeks before your payment is due - and at that time, you have a balance. That balance will be reported.

The impact is you might be showing balances on multiple cards every month even though you pay in full when it's due. If you only have one card, there's nothing you can do. If you have multiple cards, only use one card for a couple months. That way only one card could show a balance and that will help your score. If you are using multiple cards every month, that is probably working against you.

Make sure you allow a couple months to go by before you apply for the car loan, to make sure all your records are up to date.

And paying in full doesn't help OR hurt your score. But as long as you are using a card, it's possible that a balance will be reported even if you pay in full when the bill is due.