#Transunion good credit score range how to#
#Transunion good credit score range free#

If your clients have questions about credit scores and reports, here are some resources to share with them: When a lender or credit company checks the score, it’s considered a “hard” check because it alerts the credit bureau that the person is preparing to accumulate some type of debt.When someone checks their own score, it’s considered a “soft” check.They should check both because each provides different information about accounts.

#Transunion good credit score range free#

Every 12 months, Canadians can request one free copy of their credit report from Equifax and TransUnion. If there are any discrepancies noted on the bureau, have it corrected as soon as possible as it can take up to two weeks for it to properly reflect on bureaus. Credit score advice for your clientsįixing a credit score doesn’t happen overnight and should be part of long-term financial planning.Īdvise clients to check their credit scores regularly and correct any errors. Of note, if the primary borrower’s credit score is below 500, an underwriter will review and likely decline the application because it does not meet our guidelines. Double-check before hitting send-whichever report you send to your underwriter is the one that will be used to evaluate your client’s deal.

Submit your client’s mortgage and credit application, attaching the credit report you’ve selected.

It could be the difference between an approval and a decline. If your client’s Equifax score doesn’t fit well with one of our mortgage products, we’ll suggest you check their TransUnion score.

Reach out to a BwB Business Development Manager to review your client’s credit before you submit the application.

Because you the broker, pay to pull these, you may wish to pull only one.

#Transunion good credit score range how to#

Here is how to best use the application process to benefit your client: Bridgewater Bank (BwB) accepts whichever score the mortgage broker pulls and attaches to the application. Not all lenders accept both credit bureaus. Working with Bridgewater using a TransUnion Score Their rating scales both run from 300 to 900, but their ranges for each level vary. However, each credit agency’s algorithm may place a slightly different weight on these factors, which contributes to the different scores your client will have with TransUnion and Equifax. Equifax uses a model called Equifax Risk Score TM.Ĭredit reporting agencies don’t share their formulas, but this is a general guideline as to how they weigh the factors that make up a credit score: TransUnion Canada uses their CreditVision TM model.

Banks and other lenders have different reporting schedules, so a person’s score will change depending on how current the information is.

Banks and other lenders might report to only one of the two credit agencies, which means they are working with different data.

For example, one model may include cell phone providers in its calculations, while another does not, even if the cell phone account appears on the credit report.

Credit reporting agencies use different algorithms to calculate the score, and they may include or exclude some types of credit or weigh them differently.

Lenders and banks provide these agencies with information about their customers’ banking and credit products and activities.Īlthough they both use similar factors to generate a credit score, their scores may not be the same. TransUnion and Equifax are Canada’s two major credit reporting agencies. To further complicate matters, a person’s credit score may differ depending on whether it’s pulled from TransUnion or Equifax.

Public records of bankruptcies or collections.Inquiries by lenders into the credit file.Ratio of used credit to available credit.That credit score is calculated using a complex set of algorithms that consider the following factors: A client’s credit score is a critical factor in getting approved for a mortgage, and it can affect the interest rate on that mortgage. One three-digit number has a lot of power.