TransUnion vs. Equifax: What’s the difference?

Written by: Evelyn Pimplaskar
• Updated •5 min read • Leer en español
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In a Nutshell

TransUnion and Equifax are two of the three major credit bureaus, and both provide credit reports and credit scores to lenders. Credit Karma also provides free credit scores using the VantageScore 3.0 model from Equifax and TransUnion to members.
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TransUnion and Equifax are two of the three main consumer credit bureaus (Experian is the other). They’re also the two bureaus Credit Karma uses to provide your free VantageScore 3.0 credit scores.

These credit-reporting agencies use public records and other financial sources to generate credit reports and credit scores for you that lenders can use them to help decide whether to extend you credit. We’ll take a closer look at TransUnion and Equifax and explain why the credit scores you see from them might differ.

Why are my TransUnion and Equifax credit scores different?

When you log into your Credit Karma account, you can see your credit reports and VantageScore 3.0 credit scores for free from both TransUnion and Equifax. 

(TransUnion and Equifax also provide FICO scores, but the VantageScore 3.0 scores are the ones you’ll see through Credit Karma). 

It’s likely that your VantageScore 3.0 credit scores from TransUnion and Equifax will be slightly different, and it’s possible they could be very different.

Here’s why your credit scores could be different:

  • Credit-scoring models can differ and produce different scores. Credit bureaus provide credit scores using different models, including various FICO score versions. And while credit scores are typically based on the same or similar credit factors — including your payment history and number of accounts in good standing — each credit-scoring model can weigh those factors differently.
  • The credit bureaus may have different information. Not every credit-reporting company will have every bit of information about you. Some lenders may report information to all three main credit bureaus, while others might report to only one or two. So, it’s possible that Equifax and TransUnion could have different credit information on your reports at any given time, which could lead to your TransUnion scores differing from your Equifax scores.
  • You may be seeing scores from different dates. A credit score is a snapshot of your credit profile at a specific point in time. Since credit scores can change over time, it’s important to compare scores from the same time period when comparing them across credit bureaus — something to consider if you’re looking at scores at different times from different resources. Keep in mind that a lender also may report updates to different bureaus at different times, which can result in different scores.

What factors determine my credit scores?

A number of factors are commonly used in calculating your credit scores. These include your credit card utilization, payment history and length of credit history.

The factors in your VantageScore 3.0 score are:

  • Payment history (40%): Your record of on-time payments 
  • Depth of credit (21%): The age of your accounts (older is better) and your mix of credit (lenders like to see variety)
  • Credit utilization (20%): How much of your credit you’re using (experts typically recommend less than 30% as a target)
  • Balances (11%): Total balances across all accounts 
  • Recent credit (5%): Number of accounts you’ve recently opened and number of hard inquiries on your report 
  • Available credit (3%): How much credit you have available on your credit card accounts

Do lenders look at TransUnion or Equifax?

You have many credit scores based on different credit-scoring models, and each provides a slightly different snapshot of your financial health.

Neither your Equifax and TransUnion credit score is necessarily more accurate, but you will want to check your reports periodically for errors and dispute any mistakes you find promptly. 

Checking multiple credit reports that use different credit-scoring models will help give you a more holistic view of your credit. You also can review a credit report from each major bureau for free at annualcreditreport.com.

It may be difficult to know which credit report and score a lender is using to evaluate your credit. You can ask, but the lender isn’t obligated to tell you.

But if a lender denies your credit application, federal law requires the lender to …

  • Tell you the main reasons why you were denied.
  • Tell you the numerical credit score it based its decision on.
  • Give you the name, address and phone number of the credit-reporting agency that provided your credit report.
  • Inform you of your right to get a free copy of that report from the credit-reporting company (within 60 days of the denial for credit).
  • Explain how you can fix mistakes on your report or add information to it.

The reporting agency is required to provide you with a copy of the report used for the decision to deny your credit application. If you spot any errors in your report, you can dispute them and the agency is required to investigate and correct any errors it finds.

TransUnion vs. Equifax: How to check your credit scores

You can get a free copy of your credit reports from Equifax, Experian and TransUnion periodically by visiting annualcreditreport.com. You can also request your free credit reports from the specialty credit-reporting agencies at specified intervals.

You can check your VantageScore 3.0 credit scores from Equifax and TransUnion anytime with a Credit Karma membership, which also provides free access to your Equifax and TransUnion credit reports.

Some credit card companies and banks will also provide free FICO scores to customers.

Next steps

The bottom line: Neither your Equifax nor TransUnion reports and credit scores are necessarily more important or more accurate — and all three main credit bureaus are commonly used by lenders seeking information to evaluate people’s credit.

Monitoring your credit reports and scores from the major consumer credit bureaus on a regular basis can help you spot opportunities to improve your credit and better understand your borrowing potential. It can also help you spot suspicious activity on your financial accounts that could be a sign of identity theft.

Reviewing your reports also can help ensure your credit profile contains accurate information, and help you catch and correct any errors that could be negatively affecting your credit.

FAQs about TransUnion vs. Equifax

Is Equifax more important than TransUnion?

No. Lenders may review information provided from any of the three major credit bureaus — Equifax, Experian and TransUnion — to provide credit reports and scores on applicants for loans and credit cards. A lender may prefer credit reports and scores from a specific bureau, but neither your Equifax nor TransUnion reports and credit scores are necessarily more accurate or important.

Do lenders prefer TransUnion or Equifax?

All three major credit bureaus are used by a variety of lenders to assess the credit of applicants. Different companies or lenders may have a specific partnership with one or more of the bureaus.

Do dealerships look at TransUnion or Equifax?

Credit scores from FICO and VantageScore, available through both TransUnion and Equifax, are commonly used for auto loans. Some lenders may prefer using the industry-specific FICO® Auto Scores. With FICO Auto Scores, FICO first calculates your “base” scores — your traditional FICO scores — then adjusts the calculation based on specific auto risks.

For example, the FICO® Auto Score may put more weight on past auto payment history, defaults or repossessions than other scores that are more general (not industry-specific). It’s a good idea to ask your lender which score they use.

About the author: With nearly 30 years of experience in media, marketing, public relations and journalism, Evelyn’s written about nearly everything — from newspaper accounts of salacious capital murder trials to whitepapers on what typ… Read more.