is transunion or equifax more accurate. Cost of the Report. is transunion or equifax more accurate

 
 Cost of the Reportis transunion or equifax more accurate  There are also third-party credit monitoring services, such as MyFICO, Identity Guard, and LifeLock

com was created by the credit reporting agencies as a one-stop-shop to provide you with your annual credit reports. To get a complete view of your credit report, you need to check all three credit reports offered by the major credit bureaus. Understanding credit score ranges. You may have a different score with each of the three nationwide credit reporting agencies (TransUnion, Equifax and Experian). The firm also marketed its proprietary TransUnion VantageScore as being a more accurate determinant of a borrower's creditworthiness, and while TransUnion did market its proprietary credit score to lenders, "the vast majority of credit decisions made by lenders. (the other two are TransUnion and Equifax), it's not the same as a FICO score, which is what lenders use when they pull your credit report. What is an excellent. Online reports are compatible with screen readers. com is the only website authorized by the federal government to issue free, annual credit reports from the three CRAs. Experian gives a more detailed picture of a person’s financial history, including payment timeliness and debt utilization. Fair credit: 650-699. The CFPB has taken action against TransUnion four times in the last seven years. Equifax comparison, both rely on some of the same. a Good credit score under the VantageScore model (typically used by TransUnion and Equifax) falls between 700 and 749. The three major credit bureaus are Equifax®, Experian® and TransUnion®. Understanding credit score ranges. Equifax Equifax scores range from 280 to 850. Their breakdown of credit factors is: Payment history (40%) Credit utilization (20%) Credit. This is a newer scoring model created through a collaboration among the three major credit bureaus to devise. It's possible that a lender may gravitate toward one score over another, but that doesn't necessarily mean that score is better. The TransUnion Credit Monitoring service costs $29. GET STARTED. In reality, both scores are. There are many reasons why the numbers between Equifax and Transunion may differ so much. It is calculated by TransUnion, Experian, and Equifax, the three major credit bureaus. Again, you have alternative options where you can check your credit score for free, like Credit Karma. You can find the contact information under the account details section of your credit report. Equifax sells its credit reports to lenders, credit card issuers, insurers, consumers, healthcare providers, utilities, and employers. Credit Karma reports a 706, while Discover reports a 731, should I consider the one on my bill more accurate? Anyway, on to the real question, I. TransUnion. Although Experian is the largest credit bureau in the U. Mail the form with your letter to: Experian. Atlanta, GA 30348. 7 billion in 2022, and collects information on more than 200 million Americans, including information on their payment histories, debt loads, maximum credit limits, names and addresses of current creditors, and other elements of their credit relationships. 0 is between 720 and 780. According to the TransUnion website, it was developed by all three national credit reporting companies (including Equifax and Experian) and is “more predictive, more consistent, and more stable than older models. The CFPB’s. 0. Source: By these. 0 and 4. 6 million in restitution to consumers, and fines totaling $5. Reactions: GXSINGH and doge. “Founded by Experian, Equifax, and TransUnion in 2006, our mission is to use data analytics to drive innovation and inclusion—giving consumers more credit access, and helping lenders make. 2 million in fines and restitution for deceiving customers. 6/5 ( 26 votes ) Neither score is more or less accurate than the other; they're only being calculated from slightly differing sources. TransUnion differs in credit history length. They argue that their policies targeted unmeritorious complaints. Equifax and TransUnion are two of the most popular credit bureaus in Canada, and more and more people are seeking out their services as they go to apply for mortgages, loans, condo rentals, and. Based in. TransUnion gathers information on over 1 billion consumers in over 30 countries across the globe. S. 95 per month, as mentioned above. Get fast cash and improve your credit with LendingTree personal loans!The three major credit bureaus include Equifax, Experian and TransUnion. Equifax collects more comprehensive and in-depth credit history data from various sources, while TransUnion focuses more on current and ongoing credit activity. Consumers With Changes to Medical Collection Debt Reporting (Mar. TransUnion and Equifax are two of the three major credit bureaus that generate credit reports and scores for lenders. Over time, credit scoring models are updated to attempt to increase their accuracy. This score also ranges from 300 up to 850. The most accurate credit report is the one that includes all of your loans and credit accounts and is error-free. Credit Karma: Which is more accurate for your credit score? You may be surprised to know that the simple answer is that both are accurate. Credit reports contain information about people’s identity, credit history and credit activity as well as information from public records. By using the correct terminology and capitalization when discussing credit reports and scores, you can ensure. 5. In fact, the company operates in 24 countries globally. Both companies collect credit information on individual consumers, which they sell to lenders and. When it comes to the TransUnion vs. TransUnion is bringing up the rear among the three. You’ll have to purchase your credit score separately. $19. There has been nothing new on my Equifax credit report. You can think of it as a snapshot of your risk level based on your credit history at a specific moment in time. Just remember that none of your free credit reports include your credit score. 164 (including taxes/handling charges). 0% dividend yield. If you find incorrect information on your credit reports, check out these resources for. Different Information Provided to Each Bureau. So I have been using Credit Karma for a while to periodically check in on my TransUnion and Equifax scores, but tonight I was curious about - 3824503. Similarly, a good credit score under the FICO Score model falls between 670 and 739. Those are TransUnion, Equifax and Experian. Some people want to achieve a score of 850, the highest credit score possible. S. More Details > More Details > OVERALL RATINGS Equifax TransUnion; Plans and Pricing: 4. Equifax, on the other hand, charges 9. You may. — Transunion: 655 [ creditkarma. Skip Navigation. 95 per month, which makes monitoring your TransUnion credit score a little more expensive. Based in. Is 660 a good credit score? 70% of U. Is your FICO score more accurate than using credit karma ( transunion: 653 equifax: 659 FICO: 705) Also credit karma says I have only 3 months of credit history (since my other accounts are closed) but on the FICO score it says 4 years which is accurate Or are none of these that accurateEquifax Complete™ Premier. 95 USD per month for membership, and all subscribers receive credit report monitoring, daily access to the VantageScore credit score that we previously mentioned, daily assistance from an ID restoration specialist to help subscribers recover from identity theft, and finally, up to 500. You can also file a free dispute with the three nationwide credit bureaus. Score: 4. The report came after the CFPB revealed that more than half of the complaints submitted to the agency from January 2020 through the following summer involved Equifax, Experian and TransUnion. Tailored for use by providers of auto financing, the FICO Auto Score uses a score range. Enjoy no monthly fees ¶, use eligible bills to raise your credit scores ø and more. Your Equifax credit score is more likely to appear lower than your TransUnion one because of the reporting differences, but a “fair” score from TransUnion is typically “fair” across the board. P. The main difference between Equifax and TransUnion is that each has their own proprietary method to calculate credit scores. Or example, only on a he MyFICO app and experian does it show my credit score is in the low 600s on all credit bureaus for the past 3 months. You may already know that there are multiple ways you can get a free credit report. Its scores are used by more than 2,600 financial institutions and 9 of the 10 largest banks. 0 and VantageScore 4. TransUnion: Credit Rating. On the transunion, equifax, and Experian websites. Find a credit score service. 2/5 ( 38 votes ) Based on our analysis, Experian provides the best service for the money. Alerts when key changes are detected in credit report. Regular checks ensure the information stays accurate. call 1-877-322-8228, or. Score: 4. Experian, Equifax, and TransUnion are the three credit bureaus that provide credit reports. Cost of the Report. Of these complaints, more than 700,000 were submitted about Equifax, Experian, or TransUnion. These companies compile information about your credit into reports that are used to generate your credit scores. 1 Credit Report with credit score costs Rs. “Founded by Experian, Equifax, and TransUnion in 2006, our mission is to use data analytics to drive innovation and inclusion—giving consumers more credit access, and helping lenders make. 95 per month. The following statement may be attributed to Stuart Pratt, President and CEO of the Consumer Data Industry Association, the trade association which represents Equifax, Experian, and TransUnion, in response to the credit reporting announcement made today by state attorneys general: “In March, the three nationwide credit reporting agencies. One other thing to note is that the length of your credit history used by the 2 credit bureaus is different as well. This guide is designed to help you learn more about Equifax, one of the “big 3” credit bureaus in the United States. Free monitoring services and. 0 scores. com. , but TransUnion and Equifax are thought. The Fair Credit Reporting Act requires the CFPB to submit an annual report about complaints submitted by consumers regarding the nationwide consumer reporting companies: Equifax, Experian, and TransUnion. S. 95 per month and include daily credit updates, recommendations, credit locks, monthly tips and more. N> and Equifax Inc <EFX. Credit bureaus must remove your name from marketing lists if you ask. P. When it comes to credit scores, however, lenders prefer FICO Score by. No credit score from any one of the credit bureaus is more valuable or more accurate than another. FICO ® Scores are used by 90% of top lenders, so a FICO ® Score is a pretty accurate reflection of your creditworthiness as a lender might see it. The three national credit reporting agencies—TransUnion, Experian and Equifax—are required by federal law to provide you with a free annual credit report. The higher the number, the. The nation’s three largest credit bureaus—Equifax, Experian, and TransUnion— said this week that they would make permanent consumers’ access to free, weekly credit reports via. These companies compile information about your credit into reports that are used to generate your credit. S. Just remember that none of your free credit reports include your credit score. Understanding these distinctions can help individuals make informed decisions. more than 200 million americans are in experian, equifax, and transunion credit reporting system. beekeeper1981 • 9 mo. Equifax is the largest credit bureau in the U. Learn more about Identity Theft. We all collect similar information, and a lot of it overlaps, but scores can vary for a number of reasons. 95 per month, which makes monitoring your TransUnion credit score a little more expensive. The three-digit score is a numerical representation that indicates how risky a borrower you are from a lender’s perspective. Know your score. Free weekly online credit reports are available from Equifax, Experian and TransUnion. But for the last two months, I’ve been checking the Equifax and TransUnion apps as well, and they score me at 719 and 721. Experian might offer more comprehensive identity theft protection services. Information in your credit reports is typically provided to the three nationwide consumer reporting agencies (CRAs) — Equifax, TransUnion and Experian — by. The actual service level is comparable with Equifax, but the subscription price is $10 per month lower than Equifax. The actual service level is comparable with Equifax, but the subscription price is $10 per month lower than Equifax. Unlike with FICO where a good credit score is 670, VantageScore requires between 720 and 780. Third, you'll get the results of the dispute. com and TransUnion are accessible to the vision impaired. com. If not, Credit Karma & Borrowell are your main go to then. Its scores are used by more than 2,600 financial institutions and 9 of the 10 largest banks. This means that the Equifax credit score may differ slightly from the FICO score, as it is based on a more limited data set. You may already know that there are multiple ways you can get a free credit report. Equifax is generally considered the most accurate, because it uses what’s called a “true credit reporting model. You have the right to get a free copy of your credit report every year from the three nationwide credit bureaus: TransUnion, Equifax, and Experian. You can get free Equifax credit reports at annualcreditreport. When it comes to credit scores, however, there is a clear winner: FICO® Score is used in 90% of lending decisions. When it comes to credit scores, however, there is a clear winner: FICO® Score is used in 90% of lending decisions. Credit and debt analysis personalized to your situation. We make trust possible by ensuring each person is reliably. 95/month for one adult. The big three consumer credit bureaus most people are familiar with include TransUnion, Equifax, and Experian. Key Takeaways. Credit reports from annualcreditreport. Definition and Examples of the Fair and Accurate Transactions Act. Their behavior is governed by the FCRA. Highlights: Regularly checking your credit reports is a good way to ensure information is complete and accurate. S. The information you see on Credit Karma should match what Equifax and TransUnion show. TransUnion provides the VantageScore 3. Credit Report costs Rs. For the most current balance, contact your lender or creditor directly. Dispute directly with the company that reported the information to TransUnion. The TransUnion Auto Score, an industry-specific risk score, offers more accurate predictions on non-prime and sub-prime applicants. Equifax uses the Equifax Risk Score, while TransUnion uses the CreditVision Scoring model. Even then with the different algorithms, the variance between the two scores should be between 7-10% or even less . can get 6 additional free credit reports per year through 2026 by visiting the Equifax website or by calling 866-349-5191. Equifax, TransUnion, and Experian are the three primary credit reporting companies. Credit Karma is an accurate way to check your Vantage credit score with TransUnion and Equifax. Both TransUnion and Equifax are reliable credit reporting agencies that compile reports and calculate your credit scores using different scoring models. 95/month for one adult. The credit scores and credit reports you see on Credit Karma come directly from TransUnion and Equifax, two of the three major consumer credit bureaus. You can also register for Equifax Core Credit for one free monthly credit check. To dispute ID theft-related errors, follow these steps: Place a fraud alert: Contact one of the three credit bureaus (TransUnion, Experian, or Equifax) to place a fraud alert on your credit report. Because of this they are able to score 30 million more people than most models. Therefore, there are other reasons why the numbers. The top three are (in alphabetical order) Equifax, Experian, and TransUnion. Since the number of hard inquiries is a factor in calculating your Credit Score, this could. Your Equifax credit score is more likely to appear lower than your TransUnion one because of the reporting differences, but a “fair” score from TransUnion is typically “fair” across the board. Checking your credit score is an important step in ensuring your personal information is correct and complete. The Credit Carma app for Android and iOS provides alerts for any important changes to your credit report, and if you see any errors, you can file a dispute from the. This works in a similar way to the arrangements TransUnion. Another difference is that the Equifax credit score is. Phishing is a cybercrime that can occur when you request your credit check. The service updates every 7 days, providing regular insights into credit standing. First, a credit report dispute is when you notify a credit bureau like Equifax about something being wrong. Message 7 of 9 0 Kudos Anonymous. Neither score is more or less accurate than the other; they're only being calculated from slightly differing sources. When people obtain their credit score through Transunion and Equifax, they are often surprised to see a different credit score from each bureau. 45. If you have a credit card with another Big Bank, you can get free TransUnion/Equifax scores through them as well. This is similar to Equifax, and you will get detailed information on your credit report and score. TransUnion again admitted no wrongdoing, and said it has. The company also markets its businesses credit reports, analytics, demographic data, credit fraud, identity theft prevention products, and software. Equifax uses data dating back 81 months (almost seven years of your financial history), while TransUnion’s model takes into account just your past 24 months (two years). No one credit report is innately more accurate than the others. Some people want to achieve a score of 850, the highest credit score possible. Equifax offers two credit monitoring plans, Equifax Complete Premier and Equifax Complete. An $11 million portion of the settlement will compensate consumers upon approval by a federal court. With some work, you may be able to reach (and even exceed) that score range, which could mean access to a greater range of credit and loans, at better interest rates. A credit report is a summary of your credit history, including the types of credit accounts you’ve had, your payment history and certain other information such as your credit limits. 0 is between 720 and 780. One issue is that most lenders utilize the FICO model and Credit Karma uses the VantageScore Model which means that the scoring system is different from most lenders. If the information on your credit report is found to be inaccurate or incomplete, your credit report will be updated, generally within about 30 days. 0. TransUnion provides the VantageScore 3. TransUnion had annual revenue in excess of $3. If you don't want to monitor your credit score yourself. 0, which is used. Only Credit Report costs Rs. 1 You can also receive free Equifax credit reports with a myEquifax account. TransUnion offers TransUnion Credit Monitoring for $24. Experian is one of the three major credit bureaus, along with Equifax and TransUnion. Those are TransUnion, Equifax and Experian. While Experian is the largest bureau in the U. consumers submit complaints about negative but otherwise accurate information. Credit Karma isn’t a credit bureau, which means we don’t determine your credit scores. Year-over-year quarterly sales growth most recently was 3. By law, you're entitled to one free annual credit report. How Accurate is Your Credit Karma Score? Your Credit Karma score, which is generated using the VantageScore model and data from TransUnion and Equifax, is updated every week, so it should be accurate. The most accurate report in any individual case is the one that has the most complete information. They both calculate credit scores and reports, but have different models and features. That applied to both individuals and family plans. Is TransUnion or Equifax more accurate? Neither TransUnion or. If you’re looking to get a mortgage, you will want to aim to have a credit score of at least 600. This trio dominates the market for collecting information about consumers in the credit markets. AnnualCreditReport. 0 scoring model . This is one of the least forgiving bureaus because much more weight is assigned to your payment history and the average age of your credit accounts. TransUnion Canada. The best credit monitoring services offer triple-bureau protection, meaning they monitor all three of the major credit bureaus —Experian, Equifax and TransUnion. Neither score is more or less accurate than the other; they’re only being calculated from slightly differing sources. TransUnion and Experian, on the other hand, use a “reactive credit reporting model. Equifax. 8 billion with a -6. All consumers are entitled to one free. Credit score concerns accounted for slightly more than half of all complaints sent to the federal agency in 2020 and 2021, the nonprofit consumer advocacy group found. Transunion Vs. Fair: 580 to 669. TransUnion and Experian, on the other hand, use a “reactive credit reporting model. Which Credit Bureau is Most Accurate? Aside from reporting errors, neither TransUnion nor Equifax demonstrates better accuracy. Of these complaints, more than 700,000 were submitted about Equifax, Experian, or TransUnion. 0/4. Instead, it provides you with a TransUnion Vantage 3. Remember, no one has just one credit score, because financial institutions use more than one scoring method. The Experian App is very accurate, at least for seeing what your true score is for most lending decisions. The best credit monitoring services offer triple-bureau protection, meaning they monitor all three of the major credit bureaus —Experian, Equifax and TransUnion. Experian. Currently, TransUnion does not have a price-earnings ratio. 1. Which is why it differs so much from Experian. P. Alternatively, Equifax is better for obtaining a detailed credit history and for evaluating overall financial standing. FICO, which is a U. Most Important Credit Score for an Auto Loan. The information contained in your report is used to determine your credit score. In 2021, Equifax, Experian, and TransUnion together reported relief in response to less than 2%. , TransUnion and Equifax are widely considered to be just as accurate and important. A credit scoring model like FICO or VantageScore evaluates your Equifax credit report and. O. 2 scoring model development companies: FICO, Vantage. Is TransUnion more important than Equifax? The short answer is no. In fact, the company operates in 24 countries globally. 0 credit scores from Equifax and TransUnion over time, you can have an easy point of reference to gauge your overall credit health. But Canadian consumers cannot access their. Is TransUnion credit score accurate? Many consumers are more familiar with FICO scores, as VantageScore is a more recent. A credit report is a summary of your credit history, including the types of credit accounts you’ve had, your payment history and certain other information such as your credit limits. Here is the main phone number for each of the three major credit bureaus. They more accurately reflect my credit card balances and student loan issues. The following article takes a closer look at two leading credit bureaus by. Like Equifax and TransUnion, Experian collects data from a person’s credit history to make an accurate credit report. Make a postal request with TransUnion. Equifax is generally considered the most accurate, because it uses what’s called a “true credit reporting model. TransUnion is bringing up the rear among the three. However, some consumers may perceive one bureau to be more accurate than the other based on their personal experiences or data discrepancies. 0; Features. ”. It's also the least friendly to those just starting out building credit. Keep reports more quickly and report, which gives them Experian recorded that one home is the fact read. Blog. So, your credit reports from Experian, Equifax, and TransUnion may vary, and the corresponding scores could also be different. However, the actual definition of an “excellent” score varies based on the credit type or the lender. Designed to meet the needs of financing companies and automobile dealers, the score predicts the likelihood of a prospect or existing loan holder becoming 60 or more days delinquent in a 12-month period. 6 Their services allow you to monitor your VantageScore credit score but not your FICO score. ” Through the end of 2023, the three major credit bureaus -- TransUnion, Equifax and Experian -- offer access to free weekly credit reports. Dun & Bradstreet, Equifax, and Experian also offer commercial credit. Both Equifax and TransUnion have scores that range between 300 and 900 in Canada. Takedown request. For starters, Equifax and Transunion have their own proprietary algorithms, with each one assigning a different weighting to the. What's more, your score of 650 is very close to the Good credit score range of 670-739. TransUnion VantageScore 3. Braille, audio or large print formats can be requested by telephone at (877) 322-8228 or by mail. RANGES. The Experian App is very accurate, at least for seeing what your true score is for most lending decisions. Like the other major credit bureaus, it gathers information on credit history and activity, among other things, to generate credit reports. The nation’s three largest credit bureaus—Equifax, Experian, and TransUnion— said this week that they would make permanent consumers’ access to free, weekly credit reports via. Information in each bureau’s. Both Transunion and Equifax say the score is based on date as of 9/22/16 but experian says based on data as of 9/2/2016. 000 in identity theft insurance. Have a copy of your TransUnion credit report handy before calling this number; the representative will need the file number. GXSINGH Full Member. com. Here’s the reason: “The scores and credit report information on Credit Karma comes from TransUnion and Equifax, two of the three major credit bureaus. All credit-scoring agencies, including TransUnion and Equifax, use proprietary scoring models, and despite the fact that credit scores are based on similar or the same factors, such as payment history and the number of accounts in good standing, each model can weigh some of these factors in a different way. The Equifax credit score is based on credit data from Equifax, while the FICO score is based on credit data from all three major credit reporting agencies. It also provides scores for those with limited credit history. They collect and store information about you that they use to generate your credit reports, which are used as the basis of your credit scores. Equifax offers a variety of credit monitoring services priced from $4. We encourage you to call the VA at (877)-881-7618 if you have outstanding medical debt that you think is the responsibility of the VA, and the staff will work with you to find a resolution. 0 scores from TransUnion and Equifax. A charge-off on a credit report is a negative item that appears on an account when a creditor writes off an unpaid debt as a loss. For your convenience we have provided their addresses and telephone numbers below. The program also gives you access to your TransUnion® credit report, free monitoring alerts and up to $25,000 in identity theft insurance. Request your free credit reports. According to the TransUnion website, it was developed by all three national credit reporting companies (including Equifax and Experian) and is “more predictive, more consistent, and more stable than older models. 800-685-1111. Similar to TransUnion, Equifax should be capitalized when used in a sentence as it is a proper noun. You can dispute by phone at 800-916-8800. How to Contact Equifax . Final Verdict. Since the information on your credit reports at each bureau can differ, your Equifax credit score and FICO score can differ depending on which credit report is used to calculate the score. Ongoing credit monitoring; Full credit reports; Educational tools;. The FICO score is the most accurate credit score when it comes to applying for loans and credit cards, according to this article. Complaints submitted about the NCRAs accounted for more than 50% of all complaints received by the CFPB in 2020 and more. Is CreditWise Accurate? CreditWise uses TransUnion’s VantageScore 3. Daily access to Equifax credit score. Your Equifax credit score is more likely to appear lower than your TransUnion one because of the reporting differences, but a “fair” score from TransUnion is typically “fair”. In both cases, higher. Score: 4. consumers' FICO ® Scores are higher than 650. The TransUnion TransRisk score ranges from a low of 300 to a high of 850, where 850 is considered to be excellent. Which Credit Bureau Is Most Accurate? In the U. Generally, both bureaus use the 300 – 900 score range for evaluation. . There isn’t one “more accurate” report. TransUnion just dropped 20ish points while Equifax got 3 points higher. TransUnion is bringing up the rear among the three. In the FICO vs Vantage comparison chart above, you can see that Vantage in the blue line reacts much more extremely to credit report changes than the FICO credit score, represented by the orange. A credit reporting agency collects information about consumers’ credit and financial history. This means that if there’s information on your report that’s incorrect, it will be corrected immediately. More information about Transunion’s dispute process by mail and dispute form. It also reveals your FICO Score 8—the score most lenders use—which can give you a better idea of what lenders see than the VantageScore that TransUnion provides. At first, VantageScore credit scores featured a different numerical scale (501 to 990). Credit reports play an important role in your financial life and we encourage you to regularly check your credit history. Experian 76%. According to the agency, it received more than 700,000 such complaints regarding Equifax. The company does not reveal the exact scoring model it uses, but its. Each score. Chase Credit Journey uses VantageScore 3. In personal finance, practically everything can turn on one. The Fair Credit Reporting Act limits who can access your credit report and for what purpose. Which credit report is most accurate? Although Experian is the largest credit bureau in the U. Some lenders only report to one credit bureau, while other lenders report to. VantageScore was created in partnership among all three credit bureaus — Experian, Equifax, and TransUnion. You should file a credit dispute if you see. TransUnion scores better than Equifax across: Plans and Pricing, Report Details and Frequency, Credit Bureau & Credit Scores, and Monitoring and Extra Features. It is also very popular. 3/5:. TransUnion vs. Good credit: 700-749. Again, you have alternative options where you can check your credit score for free, like Credit Karma. 0 score is the same type of credit score provided by. There isn’t one “more accurate” report. Your good credit will be. , but TransUnion and Equifax are thought to be just as accurate and important. Equifax and TransUnion. 95 per month. TransUnion uses a 7 year credit history while Equifax calculates it based on a time interval of 6 years and 9. Here are the services that TransUnion. 95 per month to $19. This means that the Equifax credit score may differ slightly from the FICO score, as it is based on a more limited data set. The lower the number, the lower the individual’s credit rating.