The Benefits of VantageScore

VantageScore is an innovative generic credit score model that simplifies and enhances the credit process for both consumers and credit grantors. It offers a highly predictive score with a consistent interpretation of consumer credit files across all three major credit reporting companies (CRCs) - Equifax, Experian and TransUnion.

VantageScore Features

• Predicts the likelihood of future serious delinquencies (90 days late or greater) on any type of account
• Returns a score range of 501-990 (higher scores represent a lower likelihood of risk)
• Consumer score is based primarily on a 24-month review of a consumer's credit file
• Includes up to four score factor codes and a fifth FACTA reason code (Spanish version available)
• Can be accessed from all three CRCs
• Does not consider "authorized-user" tradelines to assess credit risk

Overview of VantageScore Benefits

Limits score variability across credit reporting companies: Leveled characteristics across Equifax, Experian and TransUnion ensure that any score differences for the same consumer are attributable to content differences in the consumer file, not the scoring algorithm.

Powerful risk prediction: Advanced segmentation techniques were used to create a strong, robust model. This results in a strong separation of good and bad performing accounts and the ability to assign meaningful and effective cut-offs.

Effective risk management: Some risk models are unable to score a significant percentage of consumers due to insufficient credit information. VantageScore provides predictive scores on more consumers with limited credit histories, thereby reducing the need for manual underwriting.

Universe expansion: VantageScore was developed using a patent-pending analytical approach that provides lenders with access to a larger pool of scoreable consumers while maintaining accuracy in risk assessment. With this capability, VantageScore plays a vital role in making credit more accessible to creditworthy consumers while creating the corresponding opportunity for lenders.