Many people mistakenly believe they have only one credit score, but the reality is far more complex. Credit expert John Ulzheimer explains that consumers often overlook the fact that they possess numerous credit scores, each generated from different credit reports provided by the three major credit bureaus: Experian, Equifax, and TransUnion. Each bureau may have varying information about an individual's credit history, leading to different scores. For instance, a score of 750 on one site may not match the score a lender sees, which could be based on a different bureau's report. This discrepancy can lead to confusion and mistrust, especially when consumers encounter differing scores from lenders or financial websites. It's crucial for individuals to understand that these variations are normal and not indicative of dishonesty from lenders. Awareness of this reality can help consumers navigate their credit more effectively and avoid misunderstandings when applying for loans or credit.
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