A credit score is a numerical calculation of a person's creditworthiness, based on information from accounts, such as credit cards, loans and mortgages; public records, such as tax liens or bankruptcies; and inquiries by lenders to view the person's credit. The credit scores that most lenders use are FICO scores, so called because software developed by Fair Isaac and Company produces these scores.
FICO Scores
The three credit bureaus in the U.S. are Equifax, Experian and TransUnion. A person has three FICO scores, one based on information from each of the three credit bureaus. FICO scores range from 300 to 850, with a higher score indicating lower credit risk. Scores from the bureaus may be different, if they have different information about a person.
Other Credit Bureau Scores
Equifax also has its own scoring system, called the Equifax Credit Score, that uses a numerical range of 280 to 850. TransUnion has a scoring system called VantageScore, which scores up to 990. According to Bankrate.com, multiplying a person's VantageScore by 0.86 gives a rough estimate of the person's FICO score
Other Credit Scores
Although FICO is the most used credit score, more than 1,000 different credit scores may be available, according to Experian. Some lenders produce their own credit scores for a person, often based on the person's FICO scores and other information about the person.
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