This score is essentially used to show potential lenders exactly how much risk you present when borrowing money. This higher your score is, the more trustworthy you appear to financial institutions and the more likely you are to make your payments on time. Your score is based on the data contained in your credit report; a record of all past and present financial activities. This information is entered into a complex mathematical formula, resulting in a three digit number between 300 and 850. The main factors involved in this calculation are as follows: Payment History (35%), Debt Ratio (30%), Length of Credit History (15%), Types of Credit (10%), Number of Credit Inquiries (10%). It is crucial to frequently check over a copy of your credit report, as erroneous entries are very common, and can result in a disastrously negative impact on your credit rating. Errors, fraud, out dated information, and incorrect entries check credit scores Tennessee are found on nearly 80% of all credit reports, so be sure to log online and check your credit history at least once per year. free credit report for all 3 bureaus
Your FICO score will fall somewhere in the range of 300 and 850, with 300 being the worst possible credit check credit scores Tennessee score, and 850 being the absolute best score possible.
It is unlikely that your score will be at either of these extremes, but will more likely fall somewhere in the middle, with the average US score coming in at approximately 720. It is a general rule of thumb that a score of 700 or higher will get you the best interest rates and terms on loans and mortgages. While those with a score of check credit scores Tennessee 600 or less will usually receive high interest rates and more restrictive loans. credit score It is also important to remember that your FICO rating is only one of the three major credit rating systems currently used in the United States.
When requesting your credit score, be sure to use a service that provides you with all three credit ratings. This will give you a more complete understanding of where your credit stands in the eyes of lenders, banks, and credit card companies. Now that you are aware of how your FICO score impacts your finances, you may be wondering "How do I get my free FICO score?" Easy, To learn more about obtaining a free online credit report, visit http://FreeCreditReports101.com/, an excellent resource on credit reports and your check credit scores Tennessee credit score. There are dozens of websites that offer totally free credit reports. There are so many, in fact, that it can be a little bit overwhelming when trying to decide which company to choose.
Some things to look for when choosing a credit reporting check credit scores Tennessee service are: ease of use, customer service and assistance, detail of reports, accuracy of reports, and whether they offer to assist in repairing your credit check credit scores Tennessee score. on line credit report Click Here Article Source: check credit scores Tennessee http://EzineArticles.com/?expert=Zach_Ford Subscribe to New Article Alerts: Finance: Credit Zach Ford Submitted On July 12, 2010.
