Transferring Credit Score Overseas?....

Experian_company_representative

That's right. The Experian Credit Score is not an affordability score, it is a credit report score. It rates your credit report not your salary. Lender's scores rate a wider selection of data, but this does not mean a credit report score is meaningless.

James

gb12345

Experian_company_representative wrote: »

That's right. The Experian Credit Score is not an affordability score, it is a credit report score. It rates your credit report not your salary. Lender's scores rate a wider selection of data, but this does not mean a credit report score is meaningless.

Perhaps meaningless is the wrong word, so how about misleading.

You only have to look at the numerous threads in the loan section that start "my credit score is XYZ" to see how many people think that their "excellent" credit score guarantees them a loan.

I know that lenders use salary:credit ratios to underwrite loan applications because I work in the industry, but many people don't - the vast majority think that because the loan costs £x per month and they have £2x spare that the loan is "affordable".

Experian_company_representative

I think we already explain the score clearly on our website, but there's always more we can do and, you're right, it's something many people struggle to understand. Certainly keeps me busy.

James Jones

guesswho2000

You-kip wrote: »

Agree meaningless it might not be but very misleading it is.

There's a member on here, izools, who had a near perfect "score" with a discharged bankruptcy on his file - he's regularly stated this - therefore I'm with him, these scores are, in fact, meaningless.

gb12345

Experian_company_representative wrote: »

I think we already explain the score clearly on our website

But for a uninformed person, this

The higher your score, the greater chance you have of getting the best credit deals from lenders

enforces the "perfect score = I'll get a loan" myth. I know it says "greater chance", but how many people will think my score is 999, I'm guaranteed a loan as my score can't get any better.

You don't mention anywhere that the information you have available is just part of the larger picture that lenders consider.

The_Boss

mrtoys wrote: »

What makes you think its meaningless?

Hopefully there's now enough in this thread for you to conclude this.

Essentially, the addition of a facility by the CRAs giving a score and charging for it was a great way of them growing their revenue. Unfortunately people confuse 'Experian credit score' 's meaning because they believe this is their fixed number that all lenders see and use.

When they are rejected, they usually receive feedback saying that the lender have used data held by Experian and automatically assume this means the score. It doesn't. It means they have used DATA from the 'report' in conjunction with data from the application submitted, with salary being a key driver as discussed above that is not held by Experian.

The_Boss

Experian_company_representative wrote: »

I think we already explain the score clearly on our website, but there's always more we can do and, you're right, it's something many people struggle to understand. Certainly keeps me busy.

James Jones

Under that link, a sentence reads "it is important that you check your credit score regularly to help minimise the damage that mistakes and potential fraudulent activity can have on your creditworthiness".

This is a case of Experian deliberately misleading - you can check for 'mistakes and potentially fraudulant activity' that can affect your credit worthiness by checking your statutory report without having to purchase the Experian Credit Score at additional cost.

InsideInsurance

Robc13 wrote: »

Does anyone know if if is possible to transfer your UK credit score to the USA?

No it isnt however some international companies allow their higher tier products to be transferred into the other territories that they operate in. So American Express, HSBC Premier etc all allow you to move country and transfer your status with them to the new country automatically and this will allow you to build your report there quicker but it doesnt actually transfer any history with you.

Gordon_Hose

James Jones will defend their scores to the hilt, after all it's a good way of fleecing customers making money.

The same points, regarding CRA credit scores, are put to him time and time again. And time and time again he maintains they are not meaningless or misleading. Then he disappears for a bit.

I think the more people are made aware that these numbers are worhtless, meaningless and misleading the better.

The_Boss

Gordon_Hose wrote: »

I think the more people are made aware that these numbers are worhtless, meaningless and misleading the better.

I've said the same in another thread. Maybe a new thread could be started somewhere to out pressure on Experian, Equifax et al to be more transparent. Perhaps MSE could also put pressure on too or contact them for a response.