Credit scores are based on your credit history and can play a significant role in the type of loan and loan terms, such as interest rate, a lender may offer you. A credit score generally ranges from 300-850, and the higher your number, the better you look to a lender because it signals that you’re more likely to repay your debt on time. Credit scores are usually calculated by taking the following into account: Payment history, credit utilization (or the percentage of your credit limits you’re using), length of credit history and mix of credit accounts, amounts you owe, recent credit behavior, and available credit. Lenders, creditors and others often use credit scores to help them determine the likelihood that someone will pay back what they owe on transactions such as loans, credit cards, mortgages, utilities, and even apartment rentals. Credit scores can also be used as one factor in determining loan and credit terms, such as interest rates. People with very low credit scores may be referred to as subprime borrowers, and lending institutions may charge higher interest rates in consideration of the increased risk of lending money to these borrowers. Credit scores are generally calculated using information from from one or more of a person's credit reports from the three nationwide credit reporting agencies, Equifax®, Experian®, and TransUnion®. You can see your VantageScore credit score, based on Equifax data, for free here. A VantageScore is one of many types of credit scores.
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What is a credit score? Equifax can tell you all about the credit score range, how credit scores are calculated and much more.
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You can improve your credit scores by following a few simple steps. Learn about what factors can raise your credit scores, what to expect and more at Equifax.
Changes in your credit history may take time to be reflected in your credit scores. A rapid rescore aims to accelerate the updating process. Learn what a rapid rescore is and when it might make sense for you.
Wondering about credit score ranges and where yours is on the scale? Learn more about the total range of credit scores and your credit score.
Learn how different financial factors can impact how much house you’re able to afford, including costs beyond the mortgage itself.
Some credit scores were affected by a coding issue – the technology has been fixed and information in consumer credit reports was not affected.
Checking your credit score is a great way to monitor your financial health. Wondering how to check your credit score? Get tips and advice from Equifax!
Does a divorce affect your credit score? Learn how to rebuild your credit after divorce with a plan of action to get back on track.
Have you been wondering why your credit scores change over time? Click to learn more from Equifax about the different factors that can affect your credit scores.
Buying a new home and need to know what to expect? Check out Equifax today and learn all you need to know about the process of buying a new home!