Check Your FICO Credit Score Online
Credit score is usually refereed to as a FICO score and it consists of a 3-digit number determined by your financial activities.
The score is usually used by lenders when they want to find out if you are a good borrower.
If you have a high score, you are considered to be more trustworthy.
Lenders consider people who have high credit scores to be better borrowers because they tend to make their payments within the specified period.
How is the FICO Score Calculated? This score is usually determined by the information that is found in the credit report.
A credit report refers to a detailed record of present and past financial activities.
Once this information has been collected, advanced mathematical formulas are applied to come up with the 3-digit number.
This number is usually ranges from 300 to 850.
Some of the factors that are taken into consideration when the calculations are being made include credit history-15%, payment history-35%, debt ratio, 30%, types of credit-10% and the number of times you have made inquiries about your credit accounts for 10% of the calculation.
It is important to check your credit report at least once each year to determine if some of the information that is contained is erroneous.
Errors usually occur in the reports and they can have a negative effect on your score therefore it is important to report them as soon as you find them.
Apart from errors, you also need to look out for any outdated information and entries that are not accurate.
What is the Average US Credit Score? Your score is supposed to range between 300 and 850.
300 is considered to be a bad score while 850 is the best.
For most people, the credit score does not get to these extremes and usually falls in the middle.
A significant number of people have a credit score of about 720.
Those who have a score of about 700 usually get good terms and interest rates for mortgages and loans.
If your credit score is less than 600, you will end up paying higher rates on loans.
A FICO score is only one of the rating systems that are used to determine your credit rating in the country.
When you are checking your rating, it is important to get information from all the systems that are applied.
This will provide you with more details about your credit rating and what different lenders think about you.
The score is usually used by lenders when they want to find out if you are a good borrower.
If you have a high score, you are considered to be more trustworthy.
Lenders consider people who have high credit scores to be better borrowers because they tend to make their payments within the specified period.
How is the FICO Score Calculated? This score is usually determined by the information that is found in the credit report.
A credit report refers to a detailed record of present and past financial activities.
Once this information has been collected, advanced mathematical formulas are applied to come up with the 3-digit number.
This number is usually ranges from 300 to 850.
Some of the factors that are taken into consideration when the calculations are being made include credit history-15%, payment history-35%, debt ratio, 30%, types of credit-10% and the number of times you have made inquiries about your credit accounts for 10% of the calculation.
It is important to check your credit report at least once each year to determine if some of the information that is contained is erroneous.
Errors usually occur in the reports and they can have a negative effect on your score therefore it is important to report them as soon as you find them.
Apart from errors, you also need to look out for any outdated information and entries that are not accurate.
What is the Average US Credit Score? Your score is supposed to range between 300 and 850.
300 is considered to be a bad score while 850 is the best.
For most people, the credit score does not get to these extremes and usually falls in the middle.
A significant number of people have a credit score of about 720.
Those who have a score of about 700 usually get good terms and interest rates for mortgages and loans.
If your credit score is less than 600, you will end up paying higher rates on loans.
A FICO score is only one of the rating systems that are used to determine your credit rating in the country.
When you are checking your rating, it is important to get information from all the systems that are applied.
This will provide you with more details about your credit rating and what different lenders think about you.
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