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.
f you are trying to improve your credit score to qualify for a loan or new credit, you may be willing to try any strategy to get out of debt. While setting a goal to be debt-free is a good thing, not all strategies are sound choices. Here are a few things to avoid when […]
or many people, the idea of paying cash for something seems archaic. They whip out their credit cards and never worry about having cash on hand. But for the person who has had issues with credit in the past, using credit may not be the best option even if he or she now has a […]
f you have fallen on hard times, you may be having difficulty paying your debts. As you fall further and further behind, you may wonder if you should file bankruptcy or if debt consolidation will help you at all. Which option is best for you now and in the future? Debt Consolidation If you have […]
xperts often tell you to check your credit report and dispute anything that isn’t true. But what happens when you file a dispute? Does it impact your credit score or ability to get credit? In many cases, the answer is “yes.” Options for Disputing You have two options to dispute something on your credit report. […]
ou get a collections notice in the mail from an agency for an account you had forgot about. The letter sounds formal and even downright intimidating. You wonder if it is possible to pay the original creditor and skip over the collections agency since you’ve heard they can be difficult to deal with. Is this […]
our credit score is tied to so many things like getting approved for a car loan or mortgage, getting good rates on insurance and getting new credit. Many other people review your credit report such as potential landlords and employers. You want to keep it in the best shape possible. Damaging someone else’s credit is […]
f you have heard that you get an annual credit report for free from each of the three major credit bureaus, you may wonder when you should you request them. Some people do it at the beginning of the year just like annual New Year’s resolutions. Others do it around their birthdays. Some people even […]