FICO vs TransUnion - Which Is Better?

The FICO score reports a number between 300 and 850, using the combined credit files from Experian, Equifax and TransUnion; it weighs payment history, amounts owed, length of credit, new credit and credit mix (FICO score basics). We'll break down the data sources in the next section.

The TransUnion score also ranges from 300 to 850 but pulls solely from the TransUnion bureau file; its algorithm leans more on recent activity and collection items, so it can diverge from a FICO score when the other bureaus report differently (TransUnion score overview). This difference often creates the typical score gap discussed later.

• FICO score and TransUnion score are built on different data pools and weightings; FICO draws from all three major bureaus, while the TransUnion score relies solely on TransUnion's own file.
• FICO score uses a uniform model (e.g., FICO 8, 10) that weighs payment history, credit utilization, length of credit history, credit mix, and new inquiries across the three bureaus, applying the same formulas to each consumer's aggregated data (how the FICO score is calculated).
• TransUnion score is calculated from the data stored only at TransUnion, which can include newer alternative sources such as telecom, utility, and subscription payments, plus any public records that TransUnion reports (TransUnion scoring methodology).
• Weighting differences: FICO models typically give the highest weight to payment history (≈35%) and treat all public records similarly, whereas TransUnion may assign greater influence to recent account activity and alternative data, causing the scores to diverge when a borrower's newest behavior is positive or negative.
• Update cadence varies: FICO scores refresh monthly when bureaus submit new data, while TransUnion often updates its score in near‑real‑time as soon as a creditor reports a change, leading to more immediate score swings on the TransUnion side.

Expect the FICO score and TransUnion score to sit within roughly five to fifteen points of each other in most cases; a gap of twenty points or more shows up only when one bureau has newer or missing data, such as a recent credit‑card balance that one model weights differently, or when a dispute has cleared on one report but not the other. For example, a 720 FICO score often corresponds to a 710‑735 TransUnion score, while a dramatic 30‑point swing usually signals a timing mismatch or a model‑specific factor rather than a fundamental credit‑worthiness change.

Understanding that this typical range is normal helps you interpret the 'score gap' discussed after the data‑source comparison and sets the stage for the reasons one score might jump while the other stays flat in the next section. FICO scoring differences explained

The FICO score can surge while the TransUnion score stays flat because the two models treat data differently, update on different schedules, and sometimes see extra information that the other ignores.

• Weighting differences - FICO assigns more impact to recent credit utilization changes, while TransUnion's algorithm may still give old balances a larger share. A sudden drop in a credit‑card balance can lift the FICO score quickly, but the TransUnion score may lag until the next reporting cycle.
• Reporting lags - Lenders send updates to the three bureaus at varying times. If a loan pays off today, the FICO score (often based on the most recent bureau data) reflects the change within days, whereas the TransUnion score might wait weeks for the bureau to receive the update.
• Alternative data inclusion - TransUnion sometimes incorporates rental or utility payments that FICO's classic model ignores. If those extra accounts are positive, the TransUnion score can rise while the FICO score shows no movement, and vice‑versa when the alternative data is missing or negative.

These three mechanisms explain why you may see a jump in one score and not the other, even though the underlying credit behavior is identical. For deeper insight, see our earlier section on the typical score gap you should expect.

Lenders base mortgage approval almost exclusively on the FICO score they pull from the credit bureau they use, typically the FICO Score 4 (the TransUnion‑based version) or, less often, the FICO Score 2 (the Experian‑based version). The score you see on a TransUnion report is only relevant when a lender explicitly requests the TransUnion version of the FICO model; otherwise the mortgage underwriting system ignores a plain 'TransUnion score' and relies on the FICO algorithm.

Because the mortgage industry standardized on FICO, any 'TransUnion score' you encounter in loan documents is really the TransUnion‑derived FICO Score 4, not a separate proprietary TransUnion risk number. This distinction will become important when we compare which score matters for credit‑card and auto‑loan decisions in the next section. For more on mortgage‑specific scoring, see FICO's mortgage scoring overview.

Your credit‑card and auto‑loan applications almost always hinge on the FICO score, but many lenders also pull the TransUnion score as a backup or for specific products.

• Credit cards - Most issuers run a FICO 8 (or newer) model across all three bureaus; the highest of the three FICO scores typically determines the offer. Some issuers that partner with TransUnion will look at the TransUnion score first, especially for promotional or unsecured cards.
• Auto loans - Lenders predominantly use the FICO 5 auto model, again across the three bureaus; the TransUnion score can be used when the lender has a direct data‑feed from TransUnion or when the borrower's FICO 5 is unavailable.

Because the FICO score drives the majority of decisions, keep an eye on it for both cards and car financing, but also monitor your TransUnion score in case a lender relies on that bureau. The next step shows how you can pull both scores for free today.

Pull a FICO score from a card issuer and a TransUnion score from the bureau's free tool - both available instantly at no cost.

1. Log into a credit‑card account that provides a FICO score (Discover, Capital One, Citi). The score appears on the account dashboard each month without a fee.
2. Register for the 30‑day free trial on myFICO. Download the FICO score, then cancel before the trial ends to avoid charges.
3. Visit TransUnion's free credit‑score page, create an account, and view your TransUnion score instantly.
4. Download Credit Sesame; the app pulls a TransUnion‑based score and updates it weekly at no cost.

When your FICO score and TransUnion score diverge, targeted disputes can close the gap. Start by pinpointing the data causing the mismatch.

1. Pull the latest free FICO score and TransUnion score; note the exact points difference.
2. Export the underlying credit report from TransUnion; highlight accounts that appear in one report but not the other.
3. Verify each disputed item's accuracy by checking statements, loan agreements, or payment histories.
4. Submit a dispute to TransUnion for every inaccurate or outdated entry, using the online portal or mailed letter that cites the specific error and includes supporting documents.
5. Follow up within 30 days, confirm the correction on the updated report, then re‑run both scores to see if the gap narrowed.

If the gap persists after correcting errors, monitor the TransUnion score more closely, as the next section explains.

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• When lenders you'll work with rely on a TransUnion‑based underwriting model (for example, many auto‑loan and private‑mortgage programs), monitor the TransUnion score instead of the FICO score (TransUnion score usage by lenders).
• If recent credit activity - such as a new credit card, medical collection, or utility account - appears only in TransUnion's file, the TransUnion score will change first; watching it catches those shifts faster.
• After disputing an error that exists solely in the TransUnion report, tracking the TransUnion score lets you verify that the correction took effect.
• When you're prepping for a major purchase that uses a TransUnion‑derived score (certain rent‑to‑own agreements or non‑prime credit cards), keep an eye on that score to avoid surprise denials.
• If most of your creditors report exclusively to TransUnion (regional banks, specific utility providers), the TransUnion score reflects your credit health more accurately than the FICO score.

If you're new to credit or an immigrant, expect an empty or 'thin' credit file, a low or unavailable FICO score, but a usable TransUnion score that begins as soon as any tradeline reports.

A typical path starts with a secured credit card or a credit‑builder loan; both report to TransUnion within days, giving you an initial TransUnion score. Once you have at least six months of on‑time payments, the major FICO models will generate a FICO score, often a few points lower because they weight limited history more heavily.

Adding rent, utility, and phone payments through a reporting service can boost the TransUnion score quickly, while the same data will only influence the FICO score after the bureau adopts it Consumer Financial Protection Bureau data. If you have a Social Security Number, open the account, let the lender report, and check both scores regularly as you build history.

Pick the score that aligns with your primary borrowing goal, the lender you'll face most often, and the data you control.

1. Identify the loan type you're targeting - mortgages, credit cards, or auto loans (because lenders typically pull the FICO score for mortgages and the TransUnion score for many credit‑card and auto applications; see recent FICO vs other credit scores overview)).
2. Compare your latest credit reports; if your payment history, balances, and inquiries are stronger on the TransUnion report, watch the TransUnion score, otherwise focus on the FICO score.
3. Set up monitoring and alerts for the chosen score and review it before any upcoming application, keeping the other score as a backup in case a lender uses a different model.