| Your credit score affects you in more ways than you | | | | than yearly, one can request a report from a different |
| realize. Your credit score will tell lenders how likely you | | | | credit reporting agency each four months. The Fair |
| are going to pay your bills. As such, the credit score | | | | Credit Reporting Act (FCRA) requires each of the |
| becomes their basis whether they should approve | | | | nationwide consumer reporting companies Equifax, |
| your credit application or not. The exact formulas for | | | | Experian, and TransUnion to provide you with a free |
| calculating credit scores are closely guarded secrets. | | | | copy of your credit report, at your request, once every |
| The three major credit reporting agencies (Equifax, | | | | 12 months. |
| Experian, and TransUnion) that are responsible for | | | | According to Jan Davis, Executive Vice-President of |
| assigning credit scores to consumers based on | | | | TransUnion, opening a new line will just decrease your |
| information found in their credit reports charge a small | | | | score because you do not have a track record. Some |
| fee whenever you request a copy of your credit | | | | lenders do not rely solely on the credit score scales |
| score. Lenders use credit scores to determine who | | | | released by these three credit bureaus. In the United |
| qualifies for a loan, at what interest rate, and what | | | | States, credit rating attempts to measure the |
| credit limits. | | | | comparison of a potential borrower who fails to pay or |
| When you apply for a loan or a credit line, usually it's | | | | other required obligations in a specific period of time. |
| because you are in need of the line of credit. Banks | | | | Now, you can find out what your credit score is by |
| and other institutions that use scores as a factor in | | | | contacting any credit reporting agency authorized to |
| their lending decisions may deny credit, charge higher | | | | release free credit scores or accessing their |
| interest rates, or require more extensive income and | | | | respective sites. There are several ways for you to |
| asset verification if the applicant's credit score is low. | | | | repair credit score and the following steps guarantee |
| When you want to purchase a car or acquire a land | | | | that it will happen, though not overnight: Get Your |
| through mortgage, it is wise to know your credit score. | | | | Credit Reports and Remember, it's credit reports get |
| You are advised to regularly check your free credit | | | | them all. Any outstanding bills at or on the limit credit line |
| report and score to keep track of any adverse | | | | will factor deeply with your credit score. It is important |
| changes that could lower down your score. To guard | | | | to bring down the total amount of outstanding debt |
| against inaccurate information or fraud more often | | | | you have. |