Credit score Experian/Equifax (clear score) disparity 11 January 2022 at 1:04PM in Credit file & ratings 6 replies 848 views

StuW82

Hi, over the last few years I have been working very hard to repair my poor credit rating so I can confidently apply for a mortgage. I won't bore you with the journey, but I was very pleased when I checked on clear score, who pull date from Equifax, that my rating has now reached 698/1000 which they deemed to be "looking bright" This is supported by the offers of low rate loans and credit cards that I am guaranteed acceptance for through their triple lock guarantee. All that made me much happier and confident for the mortgage myself and my wife are applying for in the coming week or so. However, I checked on Experian and paid their extortionate £14.99 only to find my score with them is 539 and rated poor. Ive been through my report on both and they are identical, so there isn't something that is causing one to better or worse. Has anyone else had the same findings and should I be concerned when it comes to the mortgage application. 

[Deleted User]

No need to be concerned. All of the score from the CRAs are made up and have a very low degree of accuracy. 

Lenders will be looking at your credit history and circumstances in assessing you for credit, never the scores. You just need to make sure the data is accurate.

Don't pay to see your reports - go via the various free routes.

Ebe_Scrooge

StuW82 said:

...when I checked on clear score, ...my rating has now reached 698/1000 which they deemed to be "looking bright"

However, I checked on Experian ... my score with them is 539 and rated poor.

Proof, if any were needed, that the scores dished out by the CRAs are utter hogwash.

As ZX81 says, ignore the scores - they are not used, nor even seen, by lenders.  And yes, please don't go paying to access your reports - all 3 CRAs can be accessed for free.

StuW82

Ebe_Scrooge said:

StuW82 said:

...when I checked on clear score, ...my rating has now reached 698/1000 which they deemed to be "looking bright"

However, I checked on Experian ... my score with them is 539 and rated poor.

Proof, if any were needed, that the scores dished out by the CRAs are utter hogwash.

As ZX81 says, ignore the scores - they are not used, nor even seen, by lenders.  And yes, please don't go paying to access your reports - all 3 CRAs can be accessed for free.

Thanks, both. I agree regarding paying, but I was so confused as to why, I couldn't resist paying the fee to see the info from Experian that Clear Score provide for free, just so I could compare. Ill try and rest a little easier as lenders are continually offering me finance and my credit limits are fairly large which a utilisation of around 10-15%. Im sure the mortgage lenders will use common sense and asses it on it merits, but you do hear stories of "computer says no". I used to credit check for BT Cellnet back in the early 2000's so am use to seeing the instant "declined" pop up on the computer with no reason or explanation as to why. Obviously a mobile contract and a mortgage are very different and the criteria will be much more widely scrutinised. 

MalMonroe

Hi, the info in this link might be helpful, hot off the press from this very site : 

https://www.moneysavingexpert.com/mortgages/best-mortgages-cashback/

Using a broker may also be a good idea? I'm hoping to apply for a mortgage in a few months' time so am also trying to do a bit of research.

As others have said, credit scores really do mean nothing. My clearscore one has often been 'excellent' but on Transunion it's been 'fair'. My Experian score goes up and down as the wind blows. Today it's excellent. Tomorrow, who knows?! 

Although you say "This is supported by the offers of low rate loans and credit cards that I am guaranteed acceptance for through their triple lock guarantee." - Clearscore is not a lender and lenders do not guarantee that you will be accepted via Clearscore, or any other CRA.   

MaryNB

StuW82 said:

Ebe_Scrooge said:

StuW82 said:

...when I checked on clear score, ...my rating has now reached 698/1000 which they deemed to be "looking bright"

However, I checked on Experian ... my score with them is 539 and rated poor.

Proof, if any were needed, that the scores dished out by the CRAs are utter hogwash.

As ZX81 says, ignore the scores - they are not used, nor even seen, by lenders.  And yes, please don't go paying to access your reports - all 3 CRAs can be accessed for free.

Thanks, both. I agree regarding paying, but I was so confused as to why, I couldn't resist paying the fee to see the info from Experian that Clear Score provide for free, just so I could compare. Ill try and rest a little easier as lenders are continually offering me finance and my credit limits are fairly large which a utilisation of around 10-15%. Im sure the mortgage lenders will use common sense and asses it on it merits, but you do hear stories of "computer says no". I used to credit check for BT Cellnet back in the early 2000's so am use to seeing the instant "declined" pop up on the computer with no reason or explanation as to why. Obviously a mobile contract and a mortgage are very different and the criteria will be much more widely scrutinised. 

Clearscore provides data from Equifax, not Experian. As zx81 has said don't pay! MSE Credit Club gives you full access to your Experian report, you're just wasting £15.
For TransUnion use Credit Karma.

You can also request a free statutory credit report (pdf or postal copy) from each agency directly.

Focus on the info on the reports, dor example, if you have defaults, CCJs etc strongly sonsider a broker, some lenders are stricter than others. A broker can pick a lender that will suit your circumstances. They'll have a far better understanding of different lender's appetite for risk. If you have a clean report you shouldn't have much hassle going direct. Ignore any score or affordability rating the agencies give you. All marketing guff.

Ebe_Scrooge

StuW82 said:

Ebe_Scrooge said:

StuW82 said:

...when I checked on clear score, ...my rating has now reached 698/1000 which they deemed to be "looking bright"

However, I checked on Experian ... my score with them is 539 and rated poor.

Proof, if any were needed, that the scores dished out by the CRAs are utter hogwash.

As ZX81 says, ignore the scores - they are not used, nor even seen, by lenders.  And yes, please don't go paying to access your reports - all 3 CRAs can be accessed for free.

but you do hear stories of "computer says no". I used to credit check for BT Cellnet back in the early 2000's so am use to seeing the instant "declined" pop up on the computer with no reason or explanation as to why.

That's because the applicant has a low credit score.  Internal credit score, that is!

It's true that the scores dished out by the CRAs are meaningless.  However, lenders do score you.  They take all the data from your credit file (purchased from the CRA), churn it through their internal algorithms, and their computer spits out a score.  Crucially, these algorithms are, apart from being horribly complex, peculiar to each lender.  One lender may have a policy of "if you've ever had a late payment we won't touch you with a barge pole", another may allow 2 late payments within a 3-year period.  Whatever their criteria may be, they're all different (and confidential, so it's no good trying to "play the system" and try to appear to be an ideal customer for a particular lender).

In fact, that's one reason why the CRA scores are rubbish - with each lender having such varied and different criteria, there cannot possibly be a "one-size-fits-all" score.

So yes, credit-scoring is most definitely "a thing".  But the crucial point is that it's the lender's internal scoring that matters, nothing to do with what the CRAs say.