Fico versions used by different Lenders

[myscoresawful]

(Maybe this could be a sticky? Just a thought)

 

We all know that there is a new FICO model (the FICO 8), and MyFico not only gives you this score, but also lists all of the possible scores that a potential lender might see, such as the Auto/Credit Card/Mortgage enhanced models.  

 

To break that down even more, these lenders might be using the 'new' FICO 8 Auto/Credit Card/Mortgage Score models, or still be using an older version of the various mentioned models.

 

Here is an example:

I purchased a new car last month and I can tell by the score in the two denial letters that I received, which FICO Auto Score model these lenders used (these were both pulled from Equifax):

 

GM Financial used the new FICO  Auto Score 8 because the score they listed matches the FICO Auto Score 8 on EQ from that day.  The FICO 8 Auto Score was about 2 points lower than my FICO 8.

 

Ally Financial used the previous version FICO Auto Score 5 because that is the score shown by that particular model on the day it was pulled.  This score was 54 points higher than the FICO 8.

 

The reason I feel this is important to know is because the difference in the two was 56 points.  (Incidentally, this particular car purchase, I was a co-signer on and the reasons cited for denial is because the person I cosigned for has not credit history what so ever.  There were several lenders who did offer loans and he chose the best one.

 

(edited to correct my addition/subtraction errors )

[myscoresawful]

I also purchased my own car about 2 weeks before, but didn't receive a denial (that I know of) but if one drags in from that purchase, I will update the information here

[willingtocope]

I think this also illustrates a few other points...

 

The FICO New Car score, regardless of the model, is based somewhat on the history the borrower has in dealing with auto loans in the past.  The other common scoring factors...utilization, available credit, etc...play less of a role.

 

Second, since a new car loan is a secured loan, there's almost always a lender willing to take a chance (for a higher interest rate).

[myscoresawful]

I think this also illustrates a few other points...

 

The FICO New Car score, regardless of the model, is based somewhat on the history the borrower has in dealing with auto loans in the past.  The other common scoring factors...utilization, available credit, etc...play less of a role.

 

Second, since a new car loan is a secured loan, there's almost always a lender willing to take a chance (for a higher interest rate).

 

Absolutely!  All other things considered, I was told by my own CU, the fact that I had no recent auto loan activity was the only thing going against me for an auto loan.  And yes, I did get financed, but the interest rate is anything but favorable, but they told me I could refinance for a lower one after I have had this one for a year or so.