Credit Cards That Use Vantage Score Explained

Vantage score is a type of credit score that's used by some credit card issuers to evaluate creditworthiness.

It's calculated by the three major credit reporting agencies: Equifax, Experian, and TransUnion.

You can check your Vantage score for free on various websites, including Credit Karma and Credit Sesame.

Having a good Vantage score can help you qualify for better credit card offers and lower interest rates.

VantageScore is a credit-scoring system that calculates credit scores by applying information from credit reports to mathematical formulas. It's like a snapshot of your credit history and habits.

VantageScore uses various credit-scoring models, and its latest scores range from 300 to 850. The VantageScore 4.0 model is weighted heavily towards payment history, accounting for 41% of the score.

Different factors go into a VantageScore credit score, including payment history, depth of credit, credit utilization, recent credit, balances, and available credit. Here's a breakdown of how VantageScore weights these factors:

VantageScore categorizes its scores into five ranges: superprime, prime, near prime, subprime, and no credit. Prime credit scores fall between 661 and 780, which is considered good.

FICO vs VantageScore: What's the difference?

FICO and VantageScore are two popular credit scoring models used by lenders to evaluate creditworthiness. VantageScore can produce a score with just a month or two of credit history, whereas FICO scores require six months of credit history.

Here's a breakdown of the two models:

VantageScore has different score categories than FICO, with ranges that differ slightly. As of May 2024, VantageScore ranges are:

In contrast, FICO scores have the following ranges:

It's worth noting that VantageScore ignores paid collections, weighs late mortgage payments more heavily, and allows 14 days for rate-shopping for a car or mortgage, compared to 45 days for FICO.

Both FICO and VantageScore use similar criteria to calculate credit scores, with the same behaviors influencing them both. To achieve a good score, pay bills on time and keep balances low. Conversely, paying late or using too much of your credit limit lowers your score.

Here's a comparison of the two models at a glance:

Ultimately, both FICO and VantageScore can be used to track credit scores over time for credit-building purposes.

VantageScore 3.0 is a credit scoring model developed by the three major credit bureaus, Experian, TransUnion, and Equifax, to provide a snapshot of a person's creditworthiness. Your score can range from 300 to 850.

The VantageScore 3.0 and 4.0 models differ slightly in the factors used to determine credit score. The 3.0 and 4.0 models consider payment history, age/credit mix, credit utilization, new credit, balances, and available credit when calculating your credit score.

Here's a breakdown of the factors used by the 3.0 and 4.0 models:

VantageScore 3.0 is a credit scoring model developed by the three major credit bureaus: Experian, TransUnion, and Equifax. It provides a snapshot of a person's creditworthiness by generating a three-digit number, your credit score.

Your credit score can range from 300 to 850, and falls into specific credit score ranges that help you understand the health of your credit. A good credit score can open doors to better loan and credit terms.

To calculate your credit score, VantageScore 3.0 considers payment history, age/credit mix, credit utilization, new credit, balances, and available credit.

VantageScore 3.0 is more widely used than the newer 4.0 model, which is why you may be more familiar with it. For example, when you enroll in Chase Credit Journey, you receive your Experian credit report and a free credit score, which uses the VantageScore 3.0 model.

The main difference between VantageScore 3.0 and 4.0 is that the 4.0 model includes trended data, which looks at your credit usage over time. This means it considers your credit history over a period of time, rather than just a snapshot of one moment in time.

VantageScore 4.0 also uses machine learning to help score consumers with little recent credit usage. This is a unique characteristic that can help capture a wider scope of a person's financial behavior.

Here's a summary of the differences between VantageScore 3.0 and 4.0 models:

Note that both VantageScore 3.0 and 4.0 models exclude all paid and unpaid medical collections from their calculations.

You can get a free VantageScore from NerdWallet and some other personal finance sites. NerdWallet's scores update every seven days and include a free credit report summary from TransUnion.

VantageScore also maintains a list of free credit score providers. You can check their website to see which credit bureau's score is offered and how often it updates.

Monitoring your credit score is a good idea, especially if you're curious about the factors affecting it. You can track your score without impacting it when you use Credit Journey.

The score you'll receive from Credit Journey is based on the 3.0 model, which is more commonly used by lenders and financial institutions. This can give you a better idea of how your credit score is viewed by banks and other institutions.

Here's a breakdown of how VantageScore 4.0 models weight different factors:

This can help you understand how different aspects of your credit history are viewed by VantageScore.

FICO and VantageScore are two different credit scoring models used by lenders to evaluate your creditworthiness.

FICO scores require six months' worth of credit history to generate a credit score, whereas VantageScore can account for a person's credit history almost right away, requiring just one month of credit history.

The VantageScore ranges are different from FICO scores, with VantageScore having five categories: Excellent, Good, Fair, Poor, and Very Poor, ranging from 781 to 850, 661 to 780, 601 to 660, 500 to 600, and 300 to 499, respectively.

Here's a comparison of the VantageScore and FICO score categories:

Both credit scoring models use information from your credit reports to calculate your credit score, including your payment history, account balances, and types of credit accounts.

VantageScores range from 300 to 850, the same range as a typical FICO score.

A score closer to the maximum 850 means better credit.

FICO is one of the most widely used credit scoring models, but it has some limitations. FICO scores require six months of credit history to produce a score, which can be a barrier for those who are just starting to build credit.

One of the main differences between VantageScore and FICO is how they handle credit history. VantageScore can produce a score with just a month or two of credit history, while FICO requires six months.

FICO scores are also affected by paid collections, late mortgage payments, and rate-shopping for a car or mortgage. However, FICO 9, 10, and 10T models ignore paid collections, which is also a characteristic of VantageScore.

Here's a comparison of FICO score categories and ranges:

The strategy for achieving a good FICO score remains the same as for VantageScore: pay bills on time and keep balances low. Conversely, paying late or using too much of your credit limit lowers your score.

The target audience for credit cards that use the VantageScore 4.0 model is quite diverse.

Auto dealerships are among the industries that use the 4.0 model to assess creditworthiness.

You'll also find personal loan lenders and fintech loan lenders using this model to make informed decisions.

Banking institutions and credit card issuers are also part of this group.

Here's a breakdown of the industries that use the VantageScore 4.0 model:

FICO and VantageScore Differences are significant when it comes to credit scoring. FICO and VantageScore use different algorithms and weigh credit behaviors differently.

One key difference is in the scoring ranges, with VantageScore using a 300-850 scale and FICO using a 300-850 scale. However, the way they categorize credit scores differs, with VantageScore using six categories and FICO using five.

FICO scores require a six-month minimum credit history, whereas VantageScore does not have this requirement. This means that VantageScore can generate a credit score even if you're new to credit.

Here's a comparison of the two scoring models:

FICO scores also have a 45-day shopping window, whereas VantageScore has a 14-day shopping window. This means that FICO scores are less affected by multiple credit inquiries.

FICO and VantageScore are two different credit scoring models used to evaluate an individual's creditworthiness. The main difference between the two is that VantageScore can generate a score with just a month or two of credit history, whereas FICO requires six months of credit history.

Here's an interesting read: Credit Cards for Those with No Credit

VantageScore is also more lenient when it comes to credit history, allowing consumers to get a score even if they have a limited credit history. FICO, on the other hand, requires a minimum of six months of credit history to generate a score.

One of the key differences between the two scoring models is how they weight different credit behaviors. VantageScore weighs payment history more heavily than FICO, while FICO weighs amounts owed more heavily.

Here's a comparison of some of the key differences between FICO and VantageScore:

As you can see, VantageScore has a shorter shopping window and weighs payment history more heavily than FICO. Both scoring models, however, require consumers to pay their bills on time and keep their credit utilization low in order to achieve a good score.

In terms of credit score ranges, VantageScore uses a range of 300 to 850, while FICO also uses a range of 300 to 850. However, VantageScore categorizes its scores differently, with prime credit scores falling between 661 and 780, and superprime credit scores falling between 781 and 850.

FICO and VantageScore have more similarities than differences. Both credit-scoring models use a combination of credit reports to calculate scores.

FICO scores require at least six months of credit history to produce a score, whereas VantageScore can generate a score with just a month or two of credit history. This makes VantageScore a good option for those who are new to credit.

Both FICO and VantageScore use similar criteria to calculate credit scores. They consider payment history, account balances, and types of credit accounts. However, VantageScore weighs late mortgage payments more heavily than other late payments.

FICO scores have different models, such as FICO 9, 10, and 10T, which are not as widely used as FICO 8. VantageScore also has its own scoring model, which ignores paid collections.

Here's a comparison of FICO and VantageScore score categories and ranges:

Both FICO and VantageScore have their own way of calculating credit scores, but the strategies for achieving a good score remain the same: pay bills on time and keep balances low.

Your VantageScore and FICO score can be different because VantageScore and FICO use different scoring algorithms and weigh credit behaviors differently.

One reason for this difference is the variation in data used by each scoring model. VantageScore may include activity that FICO doesn't, affecting your credit score.

Another reason is that VantageScore doesn't require a six-month minimum credit history to generate your credit score, unlike FICO.

Your VantageScore can be generated with just a month or two of credit account opening, whereas FICO scores require six months of credit history.

Here are some key differences between VantageScore and FICO:

These differences can affect your credit score, but the strategy for achieving a good score remains the same: pay bills on time and keep balances low.

Credit scores can vary significantly depending on the model used. The VantageScore model has its own set of ranges, with the highest score being 850.

The VantageScore model has different categories for credit scores, including Excellent, Good, Fair, Poor, and Very Poor. These categories are defined as follows:

The FICO score, on the other hand, has its own set of categories, with the highest score being 850, but also has an Exceptional category. The categories for FICO scores are:

The VantageScore 3.0 and 4.0 models also have slight variations in the factors used to determine credit scores. These factors include payment history, age/credit mix, credit utilization, new credit, balances, and available credit.

The VantageScore 4.0 model, which is a newer model, has an average score of 702, according to VantageScore. In contrast, the average VantageScore 3.0 was 705 in March 2024, according to Equifax.

Here's an interesting read: What Is the Average Credit Limit on Credit Cards