The FICO auto score is a credit rating used by car loan lender to evaluate potential borrowers. It has two parts. The base FICO score is the main part and an industry-specific overlay score card. The industry-specific overlay score cards are designed to assess auto debt risk.
Variables within your FICO auto score
The FICO auto score is a score that lenders use to determine if you're a good candidate for auto loan approval. There are many variations of this score, but it's still the most used score by lenders. FICO 9 is the most recent version. It was introduced in 2014. It can be accessed from all three major credit reporting agencies. You should know the weights assigned to each of the variables so that you can improve your score and qualify for better deals.
Credit bureaus provide information via a variety sources. These include lenders, collectors, and other sources. It is important to remember that not all companies report to all three bureaus. Your FICO score, which is a composite of credit reports, may not be 100% accurate.
Variables in VantageScore credit score
Your credit score is calculated based on several factors, including payment history and age. These variables are responsible for 61%. By contrast, FICO gives 35% of the weight to payment history, 10% to new lines of credit, and 15% to overall credit history. Both credit scores penalize late payments equally. Credit management and timely payment can improve your score.
VantageScore 4.0 is the latest version of the VantageScore credit score model, which uses a longer history to provide a more complete picture of a borrower's credit history. TransUnion and Experian both have more strict reporting requirements in regards to tax liens, civil judgments, and tax judgments. This makes VantageScore more reliable.
How to access your FICO Auto Score
FICO's auto score can help you when shopping for a vehicle. It is also useful for keeping track of your credit history. While the base FICO score is a general measure of your creditworthiness, the FICO auto score is specific to auto loans. There are several versions. The most recent version was released in June 2016. It is based upon trended data from TransUnion CreditVision Data. It covers up to 30 month.
A higher FICO auto score can increase the likelihood of getting approved for a loan, and it can also get you a better interest rate. Depending on your financial situation, you may be able to access your FICO auto score by signing up for a credit monitoring service. These services might not offer the exact same service as your lender. You should check which credit bureau you are eligible to use as many lenders use these three credit bureaus to calculate their auto score.