Credit Reports & Credit Scores

 

What is a credit score...and why is it so important?

A credit score is a number calculated by a credit bureau, a lender or another company for use in making a decision on a loan application or other product or service. Many lenders use a system developed by Fair Isaac and Company called the "FICO score." Think of credit scoring as a point system based on your credit history, designed to help predict how likely you are to repay a loan or make payments on time. Everyone with a credit record also has a credit score. Different lenders may use different scoring systems, so your score may vary significantly from one source to another.  In general, the better your credit score the better your chances are of getting a loan with an attractive interest rate. So when it comes to getting a good loan, it’s important that your credit report—the basis for your credit score—is accurate, complete, and in the best shape possible.

• Understand your reports and scores.

• Learn how to correct errors.

• Obtain a free credit report.

Find out more about identity theft.

Click here for answers to frequently asked questions about obtaining your credit report.