How Do You Feel About The New Upcoming Credit Scoring System

Mortgage and Lending with BaileyMeadows, Inc - Mortgage Group

Very shortly there may be a new credit reporting system that will change the way that the our credit scores are determined. We currently use the FICO scoring method to determine our credit worthiness. Using this current method the highest FICO score that you can currently accumulate is 850. Under the new VantageScore method the highest score you can accumulate is 990. I for one am comfortable with using the Fair Isaac way of credit scoring, but maybe that is because I am opposed to major changes. Well obviously only time will tell how well this new method works out, if it truly comes to fruition. Below is the breakdown of the new scoring system. I am curious to hear opthers opinion on this topic as it has intriqued me since i first heard about this happening.

New Vantage Scoring Method

901-990 equals "A" credit

801-900 equals "B" credit

701-800 equals "C" credit

601-700 equals "D" credit

501-600 equals "F" credit

Comments (8)

Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!
It means a new learning curve for the public and the real estate expainations on how to, and of course the scoring methods will be different too.  I am with you....wait and see.  Nice post Chirstopher.
Jan 10, 2008 11:46 AM
Wayne B. Pruner
Oregon First - Tigard, OR
Tigard Oregon Homes for Sale, Realtor, GRI
This is the first I've heard of this. It's always better to have one universal standard for something as important as this.
Jan 10, 2008 11:55 AM
.... ...
.... - Mauldin, SC

In addition to the new learning curve and the human factor, the thing that worrys me is when ever you have any kind of change over there are bugs/errors. They usually take some time to get worked out. I hope that does not create more problems then expected.


Jan 10, 2008 12:01 PM
Brian Wentz
Keller Williams Greater Des Moines - Des Moines, IA
Realtor - Des Moines Iowa Real Estate
I like the fact that there is more room in the upper end. Moving between 650 to 720 or 720 to 790 are such night and day numbers in so many cases! The low end is currently so wide under FICO.
Jan 10, 2008 12:15 PM
Mark Horan
Resident Team Realty, LLC & Toni's Property Management LLC - Saint Cloud, FL
"The Resident Chef" - Resident Team Realty LLC &
Christopher- The current system isn't the best, but everyone knew how to look into the numbers. It's the standard for scoring the numbers that needs adjustment.
Jan 10, 2008 12:17 PM
Richard Halpern
Coldwell Banker Commercial NRT - Ellicott City, MD
Apparently the entire scoring system will undergo a change not just the scores.  Does anyone know what the what say a 680 currently will translate to under the new system?
Jan 10, 2008 12:26 PM
Carol Culkin
Diamond Partners Inc - Overland Park, KS
Overland Park Residential Real Estate
Looks like it makes sense. We won't know until we live with it.
Jan 10, 2008 01:01 PM
Jina St James
St James Team: The Cutting Edge, Realtors - Colorado Springs, CO
The Key to Your New Home

Honestly I say this suck for the few of us that lost everything in the market crash and now the hill to getting our credit back on track has become a damn mountain. Hahaha.  I am glad I like challenges

May 29, 2009 01:44 AM