My Credit Report – What’s the Big Deal?

What matters most to you might not be the thing that most work so hard to protect. Keeping your credit report in tip top shape is vitally important these days for a quality, trouble free lifestyle at least where making purchases are concerned. Your credit report or score can also be known as your FICO credit score and each individuals score generally falls on a scale ranging from a low score of 300 to a higher score of 850. Typically the higher your score is the better your chance of getting a loan approved or for creditors to feel confident with taking a chance with letting you make purchases.

Although to get your credit report can be done relatively easy there are three major credit reporting agencies that are being consistently updated with your credit information data. Those agencies are Trans Union – Equifax and Experian. Data from these facilities are typically the most accurate but no agency is immune from mistakes and errors so everyone is encouraged to do periodic credit checks with their reports to ensure error free information. How often should one obtain a credit check? A quarterly inquiry, 4 times a year, should be sufficient. Whether your score is at the top of the scale or at the bottom you can control yours.

Just what types of information are in these reports? The most common information like name, phone number, address along with where you work, how you pay your bills (bill paying habits) whether you are a slow paying consumer, fast paying, whether or not you pay on time or not at all. This information is accessible at the drop of a hat and is sought out any and every time you fill out a credit application or request a creditors services for credit. Once your name and social security number is given to a merchant your credit score is obtained and in an instant the merchant knows if they want to take a chance extending credit in your behalf.

While a bad credit score doesn’t necessarily facilitate a definite denial of the merchants services it could mean the difference in carte-blanche or the quality of your loan in anything from paying a high interest rate to other stipulations governing the terms of the loan itself and how it’s to be repaid. Your credit report governs your quality of lifestyle and should not be taken for granted. A bad or low FICO can deprive you of a quality of life that you deserve. Stay on top of your credit status. Keep it in good standing. Most reports can easily be acquired for free.

Source by Donald Whitehead

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