What is not in your FICO Score

The good folks at Fair Isaac are hoping to make the credit scoring process more transparent to consumers. As part of this ongoing process, they have made available a series of articles. One article documents the items that are not considered when computing a FICO® score.


The rest of the process

Here at Auto Credit Express, we are constantly telling our customers how they can improve their credit score. These suggestions range from paying your bills on time to keeping your credit card balances below 30%. That’s all well and good, but what, exactly, is not considered when a score is computed? According to Fair Isaac, the following things are not part of the credit score equation:

• Your race, color, religion, national origin, sex and marital status.
US law prohibits credit scoring from considering these facts, as well as any receipt of public assistance, or the exercise of any consumer right under the Consumer Credit Protection Act.

• Your age.
Other types of scores may consider your age, but FICO scores don’t.

• Your salary, occupation, title, employer, date employed or employment history. Lenders may consider this information, however, as may other types of scores.

• Where you live.

• Any interest rate being charged on a particular credit card or other account.

• Any items reported as child/family support obligations or rental agreements.

• Certain types of inquiries (requests for your credit report).
The score does not count “consumer-initiated” inquiries – requests you have made for your credit report, in order to check it. It also does not count “promotional inquiries” – requests made by lenders in order to make you a “pre-approved” credit offer – or “administrative inquiries” – requests made by lenders to review your account with them. Requests that are marked as coming from employers are not counted either.

• Any information not found in your credit report.

• Any information that is not proven to be predictive of future credit performance.

• Whether or not you are participating in a credit counseling of any kind.

Just as Fair Isaac is the expert on credit scores, Auto Credit Express is the expert when it comes to bad credit car loans.

Since 1999, Auto Credit Express has been helping people with credit problems get approved for new and used car loans. Our nationwide network of dealers work with a wide array of lending companies to get you approved. These loans require a credit check, but once you are approved, each month that you make a car payment you are taking one more step in rebuilding your credit score and reestablishing your financial future.

So if you need to buy a car and you have a low credit score, visit our web site at www.autocreditexpress.com. Let us explain the benefits of getting financed through us. Our web site has calculators and a resource page that will help walk you through the process, while our secure online car credit application can be filled out in the comfort and privacy of your home. Visit us and see what we can do for you.

Posted on June 17, 2008 by in Used Cars
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