The AMP Credit Report and AMP Credit Score
What credit account information is contained in the eCredable AMP Credit Report?
The credit accounts included in the AMP Credit Report are presented in three primary categories:
The first category is comprised of the credit accounts that have been verified within 45 days of the creation date of the report, and are broken down into four “Tiers”. These “current” verifications are the only credit accounts that are factored into the AMP Credit Score. These Accounts can be automatically or manually verified.
Industry standards rank alternative credit into Tiered categories by order of significance of the specific account type as shown below. Established by Fannie Mae, Freddie Mac and FHA, many financial institutions use this Tiered model in their evaluations. Each Tier contributes different weight toward the overall Rating, Tier I carrying the most points, Tier II the second, and finally, Tier IV contributing the least number of points toward the overall Score. Conversely, derogatory information in a Tier I rental or utility will result in a much greater negative impact on the Rating than derogatory information in a Tier IV equipment rental or health club membership.
Tier I credit includes payments for:
- Housing - Rental
- Housing – Mortgage
- Housing - Rent to own
Tier II credit includes payments for:
- Electric Utility
- Gas Utility
- Water Utility
- Phone – Mobile or Land
- Cable/Internet/Television service
- Revolving accounts/Credit cards
- Automobile/vehicle loan
- Secured loan
- Unsecured or Payday loan
Tier III credit includes payments for:
- All insurance types with payments made at least quarterly (excluding payroll deductions)
Tier IV credit includes payments for all other items such as:
- Leases for furniture, appliances or durable goods
- Layaway payments made monthly
- Condominium/Homeowner association dues
- Timeshare maintenance
- Gym and physical therapy payment plans
- Childcare and day care with regularly scheduled payments
- Parking with regularly scheduled payments
- Subscriptions and memberships with regularly scheduled payments
The second category is comprised of credit accounts that were previously verified, but the verification date falls outside the 45 day window and therefore does not qualify for inclusion in the AMP Credit Score. The eCredable member has the option to have the verification updated so that the account can be factored into the Score.
The third category includes all unverified credit accounts. The ECOA gives the consumer the right, when their creditworthiness is being evaluated, to present any payment accounts for which they are responsible, if the credit being considered by the creditor does not accurately reflect the consumer’s creditworthiness. For that reason, we designed the AMP Credit Report so that the eCredable member may include any credit account they wish to present on the Report. None of these Accounts affect the AMP Credit Score, since these Accounts have not been automatically or manually verified.
What is the AMP Credit Score and what information does it include?
The AMP Credit Score is a statistically sound, predictive rating model developed exclusively by eCredable to evaluate a consumer’s creditworthiness. The Rating delivers a simple and intuitive A+ (highest) to F (lowest) risk assessment. The AMP Credit Score provides an instant summary of a consumer’s credit standing based on reliable, manually verified data. In addition to the alphabetic rating, the AMP Credit Score includes a number. This number is on a scale of 1-100, but does not directly correlate with the numbers typically associated with “school grades”.
The AMP Credit Score is designed to rate “current” credit account behavior and is based solely on credit accounts that have been verified within 45 days of the created date of the AMP Credit Report. Credit accounts that are not verified, or were verified prior to the 45 day verification cutoff window, are not factored into the AMP Credit Score.
What information is not factored into the AMP Credit Score?
Just like traditional credit scores, the AMP Credit Score does not consider any of the following consumer information:
- Race, color, religion, national origin, sex and marital status
- Where the consumer lives
- Employment information such as salary, occupation or employment history
- Credit inquiries
Credit accounts must meet specific criteria to be included in the AMP Credit Score. The following credit accounts are examples of accounts not included in the AMP Credit Score:
- Accounts that are not in the name or the responsibility of the report subject
- Accounts that are paid through pre-tax payroll deductions
- Accounts that are not paid on a set or regular payment schedule
- Accounts paid to a business or individual that cannot be verified as a legitimate business entity, such as a business with no physical address or landline telephone number
- Private loans, payment accounts or home/apartment rental accounts paid with cash or other tender that do not provide a verifiable payment history (such as canceled checks, creditor statements, electronic receipts or proof of electronic bill payments)
- Credit accounts that have been verified within 45 days of the created date of the AMP Credit Report