Auto dealer credit reports compile borrowers’ credit details, demonstrating stability or weakness at a glance, as shown in the video. Such a report needs vigilant analysis to keep fraudsters at bay. With a candid report, one can’t use tricks.
The Fair Isaac Corp score is used by more than 90% of lending institutions in the United States. This is a little different from the base FICO score. As such, it sidelines paid accounts from collection companies and unpaid medical accounts. Its latest upgrade collects data from TransUnion, showing credit behavior in more detail.
VantageScore is another credit scoring agency widely used in the US. With its 3.0 and 4.0 versions designed for auto loans, it showcases many variables on your credit report including the length of credit, credit utilization, type of credit, and payment history. Each of these variables accounts for different percentages of your overall score with the payment history taking the biggest chunk.
Car dealerships run your credit report using data from bureaus like Experian, TransUnion, and Equifax. Such reports present data in terms of loan balance, monthly payment, and payment history. Car dealerships analyze and interpret this data to protect their business from risks.
Car dealers are highly vulnerable to fraud. Hence, their credit reviewing process needs to be stringent to ensure only creditworthy customers get through with their services. Car dealers can hire credit review services to understand their clients’ credit reports in more detail and prevent all that could go wrong.
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