Why Is My Equifax Credit Score Different From My TransUnion Score?

Seeing different credit scores from Equifax and TransUnion can be confusing, You may wonder why the scores don’t match and which one is more accurate, Here’s a detailed look at why your Equifax and TransUnion credit scores may differ,

What Causes Different Scores Between Equifax and TransUnion?

There are a few key reasons why your Equifax and TransUnion credit scores may not be the same:

1. They Use Different Credit Scoring Models

Equifax and TransUnion each use their own proprietary credit scoring models to calculate your scores.

For example, Equifax uses the Equifax Credit Score model while TransUnion uses the TransRisk score. Although the models consider similar factors like payment history and credit utilization they may weigh those factors differently. This means even with identical credit reports the scoring models can produce different credit scores.

2. They May Have Different Credit Information

Equifax and TransUnion don’t always receive the exact same credit information about you. Here are some of the reasons why:

• Creditors can choose which bureau(s) to report to. Creditors are not required to report your credit information to all three major bureaus. Some may only report to one or two. This means Equifax and TransUnion may have different account details on your reports.

• Reporting timelines can vary. Even creditors that do report to both Equifax and TransUnion may not report updates at the same time. One bureau may receive new information days or weeks before the other.

• Not all details are reported. Creditors generally report credit limits, balances, and payment history. But they may not all report finer details like credit utilization rates. Missing details can impact your scores differently.

• Errors may exist. One bureau’s report may have incorrect information that dings your score compared to the other report.

So if Equifax and TransUnion don’t have the identical credit data, their scores can differ even when using the same scoring model.

3. The Scores May Be From Different Dates

Credit scores fluctuate along with your credit reports. As new information is added or removed, scores can rise or fall.

If you’re comparing Equifax and TransUnion scores from different dates, they may vary simply because your data changed from one period to the next.

For the most accurate comparison, only contrast scores from the same timeframe.

Which Credit Score Is More Accurate?

With different scoring models and data sources, is one bureau’s credit score better or more accurate?

The truth is, no single credit score is “right” or “wrong.” Since lenders may use different bureaus, it’s beneficial to monitor all your scores.

Here are some things to keep in mind when comparing Equifax and TransUnion scores:

• No score is absolutely better or more accurate. Don’t assume a higher score is automatically better. And don’t think a lower score is wrong if the models differ.

• Each score represents real data. While the scores differ, both reflect credit information that lenders may consider. Ignoring either score could leave you with blind spots.

• Lenders may favor one bureau. Some lenders tend to rely on a go-to credit bureau. They may be more influenced by that bureau’s score even if it’s lower.

• All scores influence your rates. Within a single credit scoring model, a higher score typically means better rates. But between different models, a higher score doesn’t always guarantee better terms.

So rather than judging accuracy based on score differences, monitor both bureau scores to understand how lenders evaluate you from different perspectives.

Which Credit Report Do Lenders Use?

When you apply for credit, the lender will generally pull your credit report and score from one or more of the three major bureaus – Equifax, TransUnion, and Experian.

But how do you know which bureau’s information the lender will use?

Unfortunately, it isn’t always easy to tell. Lenders are not legally required to disclose which credit report they use to evaluate an application.

However, here are some tips:

• Check loan documents for bureau information. The lender may indicate they used a specific report.

• Review adverse action notices. If denied credit, adverse action notices must include the scoring model and bureau.

• Ask the lender directly. They may voluntarily share which credit report they checked.

• Check your free credit reports. Any hard inquiries from lenders will show which bureau was accessed.

While you can’t always know which report a lender checks, regularly reviewing your Equifax, TransUnion and Experian credit reports gives you the full picture.

How Can I Check All My Credit Scores?

Checking your credit scores from Equifax, TransUnion and Experian is essential for understanding your credit health. Here are some ways to check your scores:

• Use a free credit monitoring service like Credit Karma. You can get free online access to Equifax, TransUnion and Experian credit scores updated weekly.

• Check each bureaus’ website. Equifax, TransUnion and Experian provide one free credit report copy every 12 months at annualcreditreport.com. You can also purchase credit scores.

• Try a free trial offer. Some credit card issuers and credit monitoring services offer free trial periods including all three credit bureau scores.

• Purchase scores from a bank or lender. Many banks and lenders will provide credit scores from one or more bureaus for a fee.

Monitoring your Equifax and TransUnion scores along with your Experian scores provides the complete credit picture that lenders see. By staying on top of your credit health with all three major bureaus, you can catch issues early and work to improve your scores across the board.

The Bottom Line

It’s common for your Equifax and TransUnion credit scores to be slightly different. From varying scoring models to discrepancies in reported credit information, many factors can cause this score divergence. Neither credit bureau offers a “better” or “more accurate” score. Checking and monitoring both Equifax and TransUnion scores gives you wider insight into how lenders assess your creditworthiness from all angles.