In the United States, there are three main agencies that house your credit history – Equifax, Experian and TransUnion. Each of these three credit reporting agencies (CRAs) uses slightly different methodologies to determine a consumer’s credit score. It is not unusual to have a credit score vary by 20-50 points from one CRA to another.
Equifax has been in business for over 100 years and is the oldest of the three leading credit reporting agencies. As a result, a large majority of lenders request a consumer’s Fair Isaac Corporation (FICO) score from Equifax when making a decision to extend an offer of credit. When a consumer has negative marks on his Equifax credit report, this can lead to a denial of credit. If an offer of credit is made, the lower FICO score can result in a higher interest rate being paid by the consumer.
For consumers, taking the time to invest in partnering with a credit repair agency will pay off with lower interest rates and better offers of credit. These credit repair agencies are experienced in working with the major CRAs, including Equifax. What some consumers may not realize is that the information contained on your credit bureau report differs from CRA to CRA.
If your Equifax and your Experian report both contain an identical error, taking the time to fix this error with Experian will not result in corrected information on your Equifax report. Credit repair agencies are familiar with the nuances between the three companies and can work with consumers to ensure that their credit bureau reports contain correct information.
Since Equifax is the oldest, and sometimes the most-used, of the three credit reporting agencies, it is important for consumers to start working on repairing their credit with Equifax first. A credit repair agency that has an existing relationship with Equifax will likely result in faster turnaround times on the requests for reporting accurate information. Get started on the road to a better financial future today by legally repairing your bad credit without delay.