Financial Awareness Section 2
Credit
📊 VantageScore and FICO are the two major credit scoring models used by lenders—but they differ in how they calculate your score and when they apply. Here's a side-by-side breakdown:
Credit Scoring systems
🧠Key Differences
FICO is more widely used by traditional lenders, especially for mortgages and auto loans.
Vantage Score may be available sooner for people new to credit or with limited history.
Weighting of factors differs slightly. For example, FICO gives 30% weight to amounts owed, while Vantage Score breaks it into multiple categories with different influence levels.
Both scores aim to predict how likely you are to repay debt, and improving one usually improves the other. Want help figuring out which score your lender uses—or how to boost both? I’ve got tips for that too.