The FICO Score
Credit reports may include a Fair Issac scoring model, called a FICO score. A FICO score ranges from 300 to 850, with the higher the score the better.
This chart, from myFICO.com, shows how the FICO score is calculated:
As a reminder:
The important part of a FICO score is that it uses a mix of information to determine a credit worthiness score. The information available is going to vary from applicant to applicant and therefore will be different for each person.
The FICO score provided will only be based on credit information. No additional information is considered for the score. As a responsible landlord you should be evaluating not only the FICO score but their eviction records, criminal history, and other information available such as TeleCheck and sex offender searches.
Visit myFICO for in-depth information regarding FICO scores.
Information Returned with a Credit Report
Sections of a Credit Report
Here's a brief outline of what is included in a credit report. Not all credit reports will include all sections. Some consumers may not have credit, or may have perfect credit and no collection information or public records. Every prospective tenant will have their own unique credit report and it may or may not include these sections:
Credit Profile Summary
Get 17 key calculations from the Credit Profile report, giving you a true picture of a consumer's debt, monthly obligations and payment history.
Scorecards
Credit reports may include a Fair Issac scoring model, called a FICO score. A FICO score ranges from 300 to 850, with the higher the score the better.
Personal Information
Displays current and previous addresses, date or birth, and a social security number.
Employment Information
When shown, provides the ability to quickly verify against the rental application.
Collections
If the applicant has accounts placed with a collection agency, they will appear here.
Public Records
Shows tax liens, judgments, bankruptcies, and other court documents.
Tradelines
Provides all lines of credit which may include credit cards, utility companies, auto loans, and more.
Inquiries
Creditors or potential creditors who have accessed the applicant's credit
Account Detail Decode
Shows additional information to decode who a creditor is and usually includes an address and phone number.
Warnings
Also called FACS+, it identifies potential fraudulent activity when an applicant's data is cautious, high-risk or non-residential