There are several reasons why your credit score may differ between Borrowell and other sources:
- Different credit bureaus: Borrowell gets your credit score directly from Equifax Canada, while other sources may use TransUnion or different Equifax scores. That's because each credit bureau, Equifax and TransUnion, uses its own unique way of calculating scores and has its own set of information about your credit history.
- Timing of updates: Credit information is updated at different times across bureaus and services. Borrowell's score may reflect more recent data than other sources, or vice versa.
- Scoring models: Various scoring models exist (e.g. FICO, VantageScore) that weigh credit factors differently, resulting in score variations.
- Data reporting: Some lenders may report to one bureau but not others, or report at different intervals, causing discrepancies between bureaus.
- Score ranges: Different scoring models use different ranges (e.g. 300-850 vs 300-900), so scores may appear different even if representing similar creditworthiness.
- Intended use: Scores can be tailored for specific purposes like mortgages or credit cards, leading to variations.
Key points to remember:
- No single score is more "correct" - each is valid for its specific model and data set.
- It's normal to see some variation between sources.
- Focus on the overall trend of your scores rather than minor differences.
- Check your credit reports regularly to ensure accuracy across bureaus.
Monitoring scores from multiple sources can give you a more comprehensive view of your credit health. The Equifax Risk Score 2.0 provided by Borrowell is widely used by lenders for consumer credit decisions in Canada.