Why It’s Important to Know Your Credit Score…
Do You Even Know What Your Credit Score Is?
It is a fact that many people don’t know what their credit score is.
They will often get adverse reports because they frequently apply for credit cards and loans and get rejected because of a bad credit rating.
What is FICO and Why It Is Important
Before applying for any loan, you must understand the role of a FICO credit scoring system. FICO is the standard for most lenders’ credit score in determining how risky you are to be loaned money. FICO (Fair ISAAC & Company) is the leading credit report agency that loan providers turn to regard credit scoring for any loan application.
If you possess a bad credit history, the lenders will know your credit situation and decide on your loan application based on your credit history.
Here is the summary of the FICO credit score classification:
- If you have a credit score of more than 700, you are eligible for a loan with the best interest rate under excellent terms.
- If you have a credit score of between 550 and 700, you may be eligible for a loan. However, you will pay a lot more in interest and will most likely have to come up with the maximum down payment money upfront for purchase or loan.
- If you have a credit score of less than 550, there is a slim chance that you’ll get approval on any loan or credit towards your utility bill. Even some job prospects can be in jeopardy.
That’s why you need to know your credit rating and obtain a copy of your credit report. This way, you’ll learn about your credit history and if you have good credit or bad credit rating.
The Importance of a Good Credit Score
A credit score is a number that rates your credit risk. It can help creditors determine whether to give you credit, decide the terms they offer, or the interest rate you pay. Having a high score can benefit you in many ways. It can make it easier for you to get a loan, rent an apartment, or lower your insurance rate.
The information in your credit report is used to calculate your credit score. It’s based on your:
- Payment history
- Outstanding balances
- Length of credit history
- Applications for new credit accounts
- Types of credit accounts (mortgages, car loans, credit cards)
It’s important to make sure your credit report is accurate, so your credit score can be too. You can have multiple credit scores. They’re not calculated by the same credit reporting agencies that maintain your credit reports. Instead, they’re created by different companies or lenders that use their own credit scoring system.
That’s Why We Recommend
GoFreeCredit.com
At GoFreeCredit.com you can:
Check your credit alerts, get identity protection, and track your progress with expert guidance.
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The Benefits of GoFreeCredit.com
GoFreeCredit.com compiles your credit reporting data and creates a credit file, reflecting your personal credit history, including your FICO score. Through GoFreeCredit.com, you will be able to monitor your entire credit history and check for any inaccurate entries.
Before you Rent, Buy, or Apply
Knowing your credit score and changes to your score will help you when you are:
Buying or renting a home; Buying a car; Applying for a loan or credit card; Simply understanding your credit health.
GoFreeCredit.com Credit Monitoring
- Emails alert you of critical changes to your credit report
- Includes up to $1,000,000 ID theft insurance
- Review your TransUnion credit report for potential inaccuracies
Reveals What’s On Your Credit Report
- Make sure your report is accurate
- Review late or missed payments
- View credit requests and balances
Offer Includes
- See your credit score online after signing up for a trial membership
- Get credit offer and email alerts
- Unlimited access to your TransUnion credit score and report
Order Your $1 TransUnion Credit Report with FREE Score Now
Realizing the need for accurate and free-of-fraud credit reporting, GoFreeCredit.com offers online credit report services that have easy and immediate access to 3 nationwide credit reports, customer care for any inaccurate credit data on your report, and daily monitoring of 3 credit reports with alerts for any changes that must be done. With GoFreeCredit.com, your good credit score report is in good hands.
