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Who Calculates Credit Scores?

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Question: Who Calculates Credit Scores?
Answer: Your credit score is calculated by several different businesses. FICO, the company who developed the well-known FICO score and each of the three credit bureaus (Equifax, Experian, and TransUnion) calculate your credit score. Some banks calculate your credit score. There are also third-party vendors that banks use to calculate your credit score.

What Your Credit Score is Based On

No matter who calculates your credit score, it's always based on information in your credit report. Your credit report is compiled by the credit bureaus who receive your account details from your creditors and other businesses. Your credit score at different businesses could be different depending on which of your three credit reports is being used and differences in the business' credit scoring algorithm.

Your credit score is calculated based on certain types of information present on your credit report. This includes your payment history, amount of debt you have, types of credit, the length of time you've had credit, and the number of recent credit applications you've made.

Getting a Copy of Your Credit Score

While you can't calculate your own credit score, you can estimate it for free using a score estimator. You can also get a free credit score from sources like CreditKarma.com and Quizzle.com. You can also purchase a real credit score from FICO or the three credit bureaus.

If you apply for some type of credit and you're turned down or approved with less favorable terms because of your credit score, you're entitled to a free copy of your score. The creditor or lender will automatically send you a copy of this free credit score.

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