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Created by the three major credit reporting companies (TransUnion, Equifax, and Experian), VantageScore is a new credit reporting number for consumers. Because the Vantage number is calculated using a different model than what we have been used to it is also a better predictor of financial risk. When applying check credit report, the Vantage number will be more reliable.

The Vantage rating was created to provide a more generic ranking than those created by the three major credit reporting companies. It is also considered more accurate and consistent, making the loan application and granting process easier for both borrowers and lenders.

Many consumers can benefit from the new rating. Those with good credit will remain low-risk but those who do not often use credit will be able to get a better rating than before, as the Vantage rating does not rely as heavily on past credit use.

The likelihood of serious delinquencies on any type of credit account will be predicted by the Vantage model. Ratings between 501 and 990 are given to consumers based primarily on their past 24 months of financial transactions. A higher number indicates a lower risk (as with conventional ratings of the past). Because they helped develop the new scoring system, TransUnion, Equifax, and Experian all have access to a consumer’s Vantage number.

Slightly different credit ratings can be seen among the three major reporting companies for some consumers. Those differences will be minimized by the new Vantage algorithm and will only occur when the actual data held about the consumer differs by the reporting companies. Consequently, there will be a more consistent rating across the board. Check credit reports can show you whether or not the credit companies each have the same information in your files.

Demand by consumers and lenders for more consistent ratings and better risk prediction led to the development of the Vantage algorithm. Because the three credit agencies worked together to create the Vantage algorithm, both of these goes should be met.

The Vantage rating will be used by the three credit reporting companies in addition to their conventional ratings and will not replace the three traditional credit scores. However, it will help make credit ratings more consistent, assisting both consumers and lenders when they apply check credit report.

Information about your Vantage rating can be obtained from TransUnion, Equifax, or Experian and it is advised to get your rating from each of these agencies to check for discrepancies. Again, the scoring range is different (501…#8220;990). Good luck credit hunting!