What your credit score really means

GM1880

Here’s an interesting one. Closed my HSBC credit card which i’ve Had for a couple of years. Equifax clearly see it as a positive and increased my score by 30 points. Experian think the opposite and reduce my score by the same amount.

Not one of these people who thinks the score is completely meaningless, aside from those with no history or who are bankrupt so seems to reset them,I think it is indicative of how some lenders may view you. Generally speaking, people with good credit history will have a better score (with the odd exception). BUT, seeing how two of the biggest firms react to the same event is intriguing and clearly the scoring is nothing more than a basic guide.

Ebe_Scrooge

GM1880 wrote: »

Here’s an interesting one. Closed my HSBC credit card which i’ve Had for a couple of years. Equifax clearly see it as a positive and increased my score by 30 points. Experian think the opposite and reduce my score by the same amount.

... seeing how two of the biggest firms react to the same event is intriguing and clearly the scoring is nothing more than a basic guide.

Wrong. The very fact that 2 agencies reacted in totally opposite ways to the same event shows that the score is total codswallop, it's not even a basic guide.

[Deleted User]

It's not even basic - calling it a basic guide is being too generous

Eatough

Hi. After using the Credit club Experian shows I have a perfect score. This cannot be right but I have checked all my info and yep it still shows I have a 999 score. What might it be really........?

[Deleted User]

Your actual score is 427.

Meehash

Just another evidence, the score is useless: Experian rates my history as poor, almost very poor. With the same data, Noddle rates it as fair. Equifax is funny, as it has one of my balance CC updated while still showing the old balance on other card, meaning it's double the real amount. Result? Excellent rating. I had a good rating with Experian in the past, just shy of very good, while Noddle was fair at best in the same time. This proves only one thing - every company sees the credit history in their own way.

daveybilko

Does a company have to tell you which score they use then before I apply for a card if the scores are different?

Fidge2872

If credit score means nothing, what are the key things lenders look for in your credit history?

[Deleted User]

daveybilko wrote: »

Does a company have to tell you which score they use then before I apply for a card if the scores are different?

They'll use their own, based on their lending criteria.

[Deleted User]

Fidge2872 wrote: »

If credit score means nothing, what are the key things lenders look for in your credit history?

Good account management, low risk behaviour, not being reliant on credit but knowing how to use it.