You probably already know that your FICO credit score is one of the most important parts of your financial reputation, and that you should protect it by checking your credit rating and report at least once per year, but did you know that you can check it online for free? Checking your credit status can be one of those things that is easy to put off, however procrastination can have its price, and in this case that price can be thousands of dollars. Checking your score is the easiest way to detect any mistakes or harmful activities that can damage your score, which will usually result in higher interest rates and tougher terms on loans, credit cards, cell phones, and leases.
It is important to realize that checking your FICO credit score for errors and out-dated information can actually save you thousands of dollars every year. Over 80% of credit reports and FICO scores contain at least one negative entry that is either expired, fraudulent, erroneous, or duplicate. These errors can easily be removed by notifying the responsible credit reporting agency, giving you an instant credit boost and making you more appealing to banks, lenders and any other company that conducts credit checks. This means lower interest rates, better terms, and less money out of your pocket.
The most popular way to request a free FICO credit score is online. There are dozens of reputable, highly rated companies on the internet that offer free credit reports and scores. These companies will usually offer other services along with your credit check, such as credit repair, credit monitoring, and credit protection services, however, it is important to remember that these services are optional. Once you have received your FICO score, you can use the guide below to determine where your credit stands.
FICO score range from 300 to 850 – The higher your score the better!
- 700 to 850 = excellent
- 680 to 700 = good
- 550 to 680 = average
- 450 to 550 = low
- 300 to 450 = high risk
Again, it is very important to become familiar with your FICO score by checking it each and every year. Identity theft and credit card fraud can happen to anyone, as well as errors that can have a huge impact on your score, all of which can be difficult to detect unless your closely check your credit score and report.