Did you know you have more than one FICO® Score?
Since FICO® Scores were introduced to lenders over 25 years ago, they have become the best-known and most widely used credit score. But quite a bit has changed since lenders first started using FICO Scores in 1989. Lender credit-granting requirements, data reporting practices, consumer demand for credit and consumer use of credit have all evolved.
To help lenders make more informed credit-granting decisions, and to help ensure you get access to the credit you need, the FICO® Score model has been updated periodically over the years. As an example, we use credit much more frequently than we used to. FICO® Scores have been updated to reflect this change in behavior. If we didn't, seemingly normal credit usage today would be considered a higher risk than in years past.The result is that there are multiple FICO Score versions available, in addition to the most widely used version, FICO Score 8.
| Experian | Equifax | TransUnion |
| Widely used versions | ||
| FICO® Score 9 FICO® Score 8 | FICO® Score 9 FICO® Score 8 | FICO® Score 9 FICO® Score 8 |
| Versions used in auto lending | ||
| FICO® Auto Score 9 FICO® Auto Score 8 FICO® Auto Score 2 | FICO® Auto Score 9 FICO® Auto Score 8 FICO® Auto Score 5 | FICO® Auto Score 9 FICO® Auto Score 8 FICO® Auto Score 4 |
| Versions used in credit card decisioning | ||
| FICO® Bankcard Score 9 FICO® Bankcard Score 8 FICO® Score 3 FICO® Bankcard Score 2 | FICO® Bankcard Score 9 FICO® Bankcard Score 8 FICO® Bankcard Score 5 | FICO® Bankcard Score 9 FICO® Bankcard Score 8 FICO® Bankcard Score 4 |
| Versions used in mortgage lending | ||
| FICO® Score 2 | FICO® Score 5 | FICO® Score 4 |
| Newly released version | ||
| FICO® Score 10 FICO® Auto Score 10 FICO® Bankcard Score 10 FICO® Score 10T | FICO® Score 10 FICO® Auto Score 10 FICO® Bankcard Score 10 FICO® Score 10T | FICO® Score 10 FICO® Auto Score 10 FICO® Bankcard Score 10 FICO® Score 10T |
How do lenders use new FICO® Scores?
When a new FICO® Score version like FICO Score 10 or FICO Score 10 T is developed, we release it to the market.
From there, each lender determines if and when it will upgrade to the latest version. Some lenders make the upgrade quickly, while others may take longer. This is why some lenders are currently using different versions of the FICO® Score. As an example, FICO Score 5 at Equifax is the FICO Score version previous to FICO Score 8 at Equifax.
Other FICO® Score versions, including industry-specific auto and bankcard versions, are also included in the FICO Score products on myFICO.com so you can see what most lenders see when looking at your scores.
FICO® Scores are evolving to keep up with modern behaviors and needs
Think of how people use different versions of computer operating systems or have older or newer generations of smart phones. They all share the same base functionality, but the latest versions also have unique updated features to meet evolving user needs.
The same goes for FICO® Scores.
The various FICO® Score versions all have a similar underlying foundation, and all versions effectively identify higher risk people from lower risk people. Every time the FICO Score algorithm is updated it incorporates unique features, leverages new risk prediction technology, and reflects more recent consumer credit behaviors.
The end result is a more predictive score that helps lenders make more informed lending decisions, which ultimately makes the credit process easier, faster and fairer.
What was new with FICO® Score 9 ?
While the underlying foundation of FICO® Score 9 is consistent with previous versions, there are several unique features that make up FICO Score 9:
- Any third-party collections (including medical) that have been paid off no longer have a negative impact.
- Medical collections are treated differently than other types of debt. Unpaid medical collections will have less of a negative impact on FICO® Score 9.
- Rental history, when it's reported, factors into the score. This may be especially beneficial for people with a limited credit history.
Introducing the FICO® Score 10 suite, the most recent updatedFICO Score version
FICO Score 10 relies on the same design and key ingredients of prior models as well as captures the subtle shifts in consumer credit data that have occurred over the 5+ years since FICO Score 9 launched, such as the increasing use of personal loans, especially for purposes of debt consolidation.
As long as consumers practice good habits like consistently paying bills on time, lowering their debt as much as possible, and applying for credit only when needed, they can achieve and maintain a good FICO Score 10.
FICO Score 10 T builds on FICO Score 10 by also assessing "trended credit bureau data" when determining your score. Scores that don't use trended data typically use the most recently reported month of data to drive certain components of the score such as the most recently reported balance and/or credit limit on an account.
By contrast, with FICO Score 10 T the "trended data" considers a longer historical time frame (the previous 24 months or longer) of the balance and/or credit limit to get a more refined view of your credit risk.
The trended data allows the credit scoring model to determine what your "trend" is: are your balances trending up, down, or staying the same? Someone whose balances are trending up may be higher risk than someone whose balances are trending down or staying the same.
FICO Score 10 and FICO Score 10 T are currently available to lenders.
Industry-specific FICO® Scores
Industry-specific FICO® Scores are FICO Scores versions that are optimized for a certain type of credit product, such as auto loans or credit cards. The foundation of these versions is the same as the base FICO Score versions, but they are fine-tuned based on industry-specific risk behaviors.
This helps ensure that lenders get optimal information and can make better decisions, so that you get access to the right credit.
What's the difference between base FICO® Scores and industry-specific FICO® Scores?
Base FICO® Scores, such as FICO Score 8, are designed to predict the likelihood of not paying as agreed in the future on any credit obligation, whether it's a mortgage, credit card, student loan or other credit product.
Industry-specific FICO® Scores incorporate the predictive power of base FICO Scores while also providing lenders a further-refined credit risk assessment tailored to the type of credit the consumer is seeking. For example, auto lenders and credit card issuers may use a FICO Auto Score or a FICO Bankcard Score, respectively, instead of base FICO Scores.
FICO® Auto Scores and FICO Bankcard Scores have these aspects in common:
- Many lenders may use these scores instead of the base FICO® Score.
- It is up to each lender to determine which credit score they will use and what other financial information they will consider in their credit review process.
- The versions range from 250-900 (compared to 300-850 for base FICO® Scores) and higher scores continue to equate to lower risk.
Which FICO® Score version is important to me?
Consider these guidelines:
Financing a new car? You'll likely want to know your FICO® Auto Scores, the industry specific scores used in the majority of auto financing-related credit evaluations.
Applying for a credit card? You'll likely want to know your FICO® Bankcard Scores or FICO Score 8, the score versions used by many credit card issuers.
Purchasing a home or refinancing an existing mortgage? You'll likely want to know the base FICO® Score versions previous to FICO Score 8, as these are the scores used in the majority of mortgage-related credit evaluations.
For other types of credit, such as personal loans, student loans and retail credit, you'll likely want to know your FICO® Score 8, which is the score most widely used by lenders.
