Have you ever wondered how the major credit bureaus work together to determine whether you qualify for financing or not? We at AutoNetFinancial.com found that there is a large majority of consumers who fail to understand how credit bureaus function and how they not only help lenders, but you as well.
In fact, there are differences that impact on your chances of qualifying for car loans with a bad credit history that are found among each credit bureau which can sometimes have an . It is also possible to gather different amounts of information from each establishment that can prove useful when repairing bad credit.
Contrary to what some people might say or claim credit bureaus are not lending institutes that can help you qualify for a vehicle loan with bad credit. Instead these establishments help house and monitor the credit histories of millions of individuals across the world. They are also mainly utilized by loan companies, dealerships, and banks to help determine whether they should offer finance a consumer.
There are a number of credit bureaus in the world, but there three well established bureaus that are highly esteemed by car loan companies for bad credit. These three include Experian, TransUnion, and Equifax. More than likely when a dealer or bank tells you that they are going to first check your credit status they are utilizing the records provided by one or all three of these establishments.
The reason a dealer with poor credit auto financing may utilize all three establishments has a lot to do with the information and scoring method that each utilizes. The differences are usually seen in how each credit report center calculates and determines who things impact a person's credit score.
These differences can be clearly outlined below as we clearly outline how each bureau determines a person's credit score:
Knowing how to utilize each bureau and which ones impact your chances of getting pre-approved for subprime credit loans is very important information. Also, you can be sure that these can also be an asset in repairing your damaged credit history as you can spot false transactions, and see what marks against you that can help your credit rebound quicker.