FICO vs. VantageScore Credit Ratings: What’s the Difference? | Personal finance
FICO and VantageScore Solutions are two competing companies. Each creates and sells credit scores to lenders and other companies in the financial industry.
FICO is a publicly traded company based in California. The analysis company was founded in 1956 by an engineer, Bill Fair, and a mathematician, Earl Isaac. Connecticut-based VantageScore Solutions was jointly founded by Equifax, TransUnion and Experian in 2006.
Minimum scoring criteria
Not everyone qualifies for a credit score. To receive one, your credit report must first meet the minimum criteria for a scoring model.
To qualify for a FICO score, your credit report must show a business line (eg, credit card, loan, line of credit, etc.) that is at least six months old. And at least one business line on your report should show activity in the past six months.
Qualifying for a VantageScore just got a little easier. Your credit report simply needs at least one business line, regardless of the age of that account.
If you don’t have a credit card, other types of payments may be eligible. A service like Experience boost can help you make sure you have the best possible chance of building a credit profile.