Your credit check Meridian

Now a 60 point swing in a credit report can equate to several points in your credit check Meridian an interest rate. It could be the difference between a 5% rate versus a 9% rate (or more). How much would that cost you in finance charges (that scenario could be my next Hub)? But the question that you have running around in your head that you want answered is why the 60 point swing? Your argument is you just got your credit score from an online credit reporting service the other day. Well the answer is quite obvious if you sit down and think with a little rational. You went online to some www.yourcreditscore.com web site and got your credit score. When you went into the car dealership, and they pulled your credit they didn’t go to that same site.

That being the case, do you think since the car dealership used a different service to pull your credit that your score could be different? You would think it should be the same or worst case scenario close.

When you go online and have your credit pulled you’ll receive what I would call a generic credit score. credit report three After all, it’s a score based on your whole credit history.

Meaning it takes in effect how you’ve paid anything and everything you’ve had credit with; from auto loans, to mortgages, to credit card, to student loans, to personal loans. If your credit file is deep with all the above types of credit, and you had a 30 day late payment on your credit check Meridian a car loan your overall credit your credit check Meridian score wouldn’t be tarnished much your credit check Meridian assuming that everything else on there was perfect.

When a car dealer pulls your credit they are pulling what’s called and Auto Finance Score. In other words, the credit score that they get from one of the three credit reporting services (Equifax, Transunion, Experian), is an auto finance score based your credit check Meridian more on your pervious auto loans. get credit reports So in the scenario above, if your credit file was perfect with all your creditors, but you had a 30 late payment on a car loan your your credit check Meridian auto finance score will take a big hit. The bottom line is there are two different scoring systems. When you go online you’re not getting an auto finance score. You’re getting an overall your credit check Meridian FICO score which is different your credit check Meridian than an auto finance score.  Banks that make car loans your credit check Meridian want to know more about your pervious car credit than how you paid back a student loan.

There are other factors that make up an auto finance score that are different than an overall FICO online credit report score, but since I’ve never worked for a credit reporting company I don’t know of the exact formula they use. Like I said earlier…don’t waste your time buying a credit report online if you’re getting ready to purchase a vehicle. Let the car dealership pay for it by pulling your credit. online credit card fraud

Once they do, they will tell you (or show you) what your auto finance score is. That’s the only score you need to know when purchasing a new or used vehicle. vote upvote downsharePrintflag Sign in or sign up and post using a hubpages account. Other product and company names shown may be trademarks of their respective owners.