Our credit score is very likely the most important number attached to our lives other than our Social Security number. It can determine whether we get a loan or receive other forms of credit, rd, but also if we secure the apartment we’d like to rent. There is even more tied up in our credit scores than we realize. Even our insurance or utility rates can be affected by our credit score, for better or for worse.
Additionally there are different models of credit score that are used by different creditors. The whole subject of credit histories, scores, and credit reports can be confusing and outright overwhelming for the average consumer. There is the FICO model to consider, and the more recently introduced Vanguard system. Both have quite different rating systems, yet both can dictate whether you receive credit or not.
Many consumers are unaware of what their credit score is, yet alone how it is calculated. The truth is; different models use different criteria to compute a credit score. It is possible you could have a good score with one version, a low score with another. It really can be quite confusing.
There is no longer a need for anyone not to understand the topic of credit scores however, as there is a new EBook available to consumers that takes the mystery out of the credit-related financial system. It is written in clear, easy-to-understand language, with credit and financial terms explained in layman’s language that everyone can comprehend.
Written and compiled by credit score specialist Ethel Wilson, Understanding Credit Scores takes readers through the differences between a credit report, credit history, and credit score, the different types of credit score models such as the Vanguard and FICO scores, and even goes into precise detail about how credit scores are calculated and what consumers can do to repair or increase their credit score.
“This EBook is written for the average consumer,” says Ms. Wilson. “Our goal in publishing it is to help every individual to understand their credit score, how much it affects their life, a better rate on loans and credit cards, and have much better overall financial health.”
Edit: The original post indicated that a better credit score can help you improve your chances of getting a job. This is incorrect and we apologize for the error. The fact is that employers use credit reports and not credit scores to filter applicants for certain roles. The two (credit scores and credit reports) are not the same and this is further explained in the PDF booklet we’ve created.
ne of the most common reasons that people begin focusing on their credit is to get ready to buy a new home. They may have already applied for a mortgage and been turned down, or they may know that their credit needs some work to qualify. Either way, it is important to know what you […]
ccording to statistics by the experts, between 10% and 33% of Americans either do not have a credit score or haven’t checked theirs. If you are in this group, you may be hurting yourself for the future. Do You Have a Credit Score? You may assume that everyone has a credit score. However, you must […]
ou will read a lot of information about credit history, credit scores and credit reports if you are working on improving your credit. Some of this information will be accurate while some will be incorrect. It can all get overwhelming and confusing. It may be easier to narrow it down to the most important information […]
aving good credit opens a lot of doors of opportunity for you. Living in a state where more people have good credit can also give you more options. Over half of the people with credit scores nationwide have subprime scores, which means they are not in the excellent category. It doesn’t mean they have bad […]
f you have been reading on ways to improve your credit score, you may be feeling overwhelmed with all of the information. Experts will give you all kinds of scenarios on what will improve your score. It could have you trying to figure out just how much each thing will impact your score so you […]
ou pay on a credit card faithfully and then you receive a notice in the mail that your credit limit increased. Another card that has a low balance doesn’t ever see an increase. It seems to make no sense and you’re not even sure if raising your limit is good or bad for your credit. […]
f you have been living frugally and working extra hard to pay down debt to improve your credit score, you may be living to see the proof of your hard work. Once you reach the goal that you set for yourself or a milestone along the way, you may want to celebrate. Avoid doing something […]