The Giants of Credit! Equifax and Trans Union

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Pedro Anatoyas

June 26,  2020

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Side by Side Image of Equifax and Transunion. Hero Image

Ever wonder where your credit score comes from?

Some of you may be new to the concept. Yes, there is a compiled credit file constructed just for you. This file, otherwise known as your credit report, can very easily allow you to have access to:

  • Mortgages
  • Student and Auto Loans
  • Credit Cards 
  • Lines of credit 

It can also deny you these things. That’s why this article was written. To clear the air on what your credit score; but more importantly who it is that gets a say in what is added to it and what is not.

Let’s start with a little history lesson.

Fair Issacs Corporation: The early years.

Before Equifax and Trans Union…

Way back when there was no credit monitoring system at all and a loans officer developed a strong sense of their potential customers through face-to-face interactions, a verbal inquiry, and a handshake were all you needed to start your credit file with the bank.

FICO and its origins date back to 1956 when two friends from Stanford Research Institute hatched an idea that would flip the business world on its back, with a radical concept that a machine could process calculations that could determine one’s creditworthiness.