ST. LOUIS (KMOX) – A change in the way credit scores are calculated will lift some of your scores right away.
Credit Care Company owner, John Boll, says the change will be implemented later this year by Vantage score – a company created by the three credit bureaus that creates the score.
“They are no longer going to be counting tax lien and judgement against you as far as when they are calculating your credit score, which is pretty big,” Boll says.
The new method will also use trending data meaning. For example, a person who is paying down debt is now likely to be scored better than a person who is making minimum monthly payments, but has been slowly accumulating credit card debt.
This is not the Fico score used for the majority of mortgages, but Vantage score handled eight billion account applications last year. So if you applied for a credit care, that score was likely used to approve or deny you.
Boll says this change could increase some scores 20 to 50 points.