FICO vs VantageScore — How the Two Credit Scores Differ and Why It Matters

Last Updated: August 17, 2025 | Fact-Checked by Editorial Team

You check a free credit app and notice two numbers staring back at you. One reads 742, the other 715. Both claim to show your "real" credit health. Which should you trust? According to myFICO, 90% of top lenders use FICO® Scores in their lending decisions, while VantageScore® reports their scores are used in over 14 billion credit decisions annually. Learning why both exist - and how they treat the same information differently - helps you plan next steps, avoid costly surprises, and feel confident when you shop for a loan or credit card.

Quick Snapshot: FICO vs VantageScore

Couple comparing credit scores

Think of your credit as weather and the two scores as thermometers. Both run from 300 to 850 and read the same atmosphere - your credit history - but they were built in different decades. FICO, rolled out in 1989 by Fair Isaac Corporation, remains the go-to gauge for mortgages and many bank loans. VantageScore, launched in 2006 by the three major credit bureaus (Equifax, Experian, and TransUnion), updates more often and gives newcomers to credit a quicker reading, so it's the number your phone app probably flashes first. Checking both scores lets you know exactly what a lender will see before you sign any paperwork.

Score Range Comparison

Score Range FICO® Rating VantageScore® Rating
800-850 Exceptional Excellent
740-799 Very Good Good to Excellent
670-739 Good Good
580-669 Fair Fair
300-579 Poor Poor to Very Poor

Key Differences That Affect You

Minimum Credit History

  • FICO: Needs at least six months of reported credit.
  • VantageScore: Can score you with one month of history.

If you're new to credit, you'll likely see a VantageScore first. VantageScore estimates they can score approximately 40 million more consumers than traditional models.

Treatment of Inquiries

Shopping for a loan triggers hard pulls. VantageScore groups pulls inside a 14-day window; FICO allows up to 45 days for mortgages, student loans, and auto loans. The Consumer Financial Protection Bureau (CFPB) recommends clustering your rate quotes within these windows to limit damage.

Update Speed

VantageScore recalculates each time the credit bureaus add fresh data, sometimes daily. Many lenders pull FICO at preset checkpoints, such as when you apply or refinance. If you pay down a card this week, VantageScore often reflects the change sooner.

Thin Files and Limited Data

With only one or two accounts, VantageScore can swing more because each change represents a bigger slice of your history. FICO, built to serve large lenders, tends to move less unless a major event occurs. Research shows 26 million Americans have no credit history with a nationwide credit reporting agency.

Closed Accounts

FICO usually keeps closed, positive accounts in its mix longer, letting seasoned borrowers benefit from past success. VantageScore phases them out faster, focusing on open lines.

Authorized-User Accounts

VantageScore sometimes discounts authorized-user lines if it suspects a "piggybacking" scheme. FICO counts them as long as the history is clean. If you added a parent's card to boost credit, the benefit may appear larger in FICO.

Real-Life Impact

Mortgage Pre-Approval

According to the Federal Housing Finance Agency (FHFA), most home lenders currently pull a tri-merge FICO report and price loans on the middle score. However, the FHFA recently validated both FICO 10T and VantageScore 4.0 for potential future use by Fannie Mae and Freddie Mac. A solid FICO can shave thousands off interest costs over 30 years.

Credit-Card Decisions

Several major issuers lean on VantageScore because its rapid updates spot improving borrowers sooner. Industry studies show issuers increasingly use multiple scoring models. Paying down balances before applying may lift your limit.

Auto Loan Negotiation

Dealers sometimes pull both scores and quote the one that makes financing look easier. When you know each number first, you can counter high-rate offers with confidence.

Apartment Applications

Landlords may use either model, but many rely on consumer-facing VantageScore services to keep screening costs low. Tracking your VantageScore can help you land a lease faster.

Current National Averages

As of 2025:

  • The average FICO® Score in the U.S. is 718
  • The average VantageScore® is approximately 701
  • Approximately 67% of Americans have a "Good" credit score or better (670+)

Should You Track Both?

Benefits of a Dual View

Seeing both scores shows trends you might miss with just one. If FICO dips but VantageScore holds steady, recent inquiries could be the culprit. If VantageScore jumps and FICO lags, a new on-time streak may be paying off sooner than you think.

When One Score Works

Daily budget management often needs only the free score your card issuer supplies (usually FICO). For long-term planning - buying a home, refinancing student loans - watch both.

Free Ways to Check

Many banks, credit unions, and personal-finance apps show at least one score monthly at no cost. You can also get your free annual credit reports at AnnualCreditReport.com, the only authorized source under federal law. Third-party services offer score updates plus credit-file alerts. Checking your own score is always a soft pull, so it never lowers your rating.

How to Respond if Scores Differ

First, compare report dates. One score may be older. Then review balances and recent inquiries. Small gaps (10-20 points) are normal. Bigger spreads may signal a reporting issue - such as a balance that updated at one bureau but not the others - which you can monitor and address over time.

Takeaway

You don't need to pick a favorite score. Use both as a pair of headlights, each shining from a different angle. By watching how FICO and VantageScore move, you can time applications, spot errors early, and walk into any loan meeting prepared.

Sources & References

Official Scoring Companies:

Government Resources:

FAQ

Why do I see two different scores?

Each model crunches the same data with its own recipe, so the outputs rarely match exactly. Score differences are normal and expected.

Which score do lenders use more?

Mortgage lenders almost always use FICO as required by Fannie Mae and Freddie Mac guidelines. Card issuers and online lenders may choose either model.

How often should I look at my scores?

Monthly checks keep you informed without stress. Treat it like a routine health check.

Will checking my own score hurt my credit?

No. Personal inquiries are soft pulls and carry no penalty.

Should I worry if my scores differ by 30 points?

Not automatically. Verify report dates, recent balances, and hard pulls. If the gap persists, monitor for changes over the next billing cycle.