There are many different types of credit scores that are used throughout different industries. The two most common types of credit scores are FICO and VantageScore. Although these scoring models are very well known they are not built for the rental screening industry. Alternatively, these scoring models focus more on the financial services industry, such as credit cards and auto loans.
Because every credit score is trying to predict a different outcome, such as an individual being evicted, having their car repossessed or making credit card payments late, individual scores can vary depending on the scoring model being used.
The ResidentScore is the TURSS proprietary credit scoring model which is included on all credit reports that are returned in SmartMove. Since, Innago has partnered with TransUnion for tenant screening, you will be able to view this score on all your screening reports. The purpose of the ResidentScore is to predict the likelihood of an applicant being evicted, the lower the score the more likely that individual is to be evicted.
The range of scores is 350 – 850 and it factors in:
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Positive and negative payment history for lines of credit.
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Usage of credit – the amount of credit being used by the individual.
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Credit history – the types of accounts and length of credit history
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Credit availability – the available credit limits
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Inquiry history – the information related to the individual seeking new credit
Because FICO and VantageScore are more widely known across the screening industry you might wonder why ResidentScore is a better predictor than FICO or VantageScore. Benefits include:
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ResidentScore was specifically built for the rental industry
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ResidentScore was built to specifically identify the likelihood of the potential tenant to be evicted
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Only 3.2% of applicants will be unscorable
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Neither FICO or VantageScore were built to specifically predict the likelihood of an eviction
Here are a couple of links that provide more detailed information about the ResidentScore, as provided by TransUnion: