What is a Credit Score?
You may be surprised to learn you don't have just one credit score. Learn more about some basics when it comes to credit scores.
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 FICO Score?
Fair Isaac Corporation created FICO Scores. Read more about how FICO scores are calculated.
What is a Good Credit Score?
Higher credit scores mean you have demonstrated responsible credit behavior in the past, which may make potential lenders and creditors more confident when evaluating a request for credit.
You Ask. Bev Answers: Why Do Credit Scores Look Different to Consumers Than Lenders?
Why might your credit scores differ when you check them vs. when a lender checks them? There are a few possible reasons.
[Video] Does Refinancing Your Mortgage Impact Your Credit Scores?
Refinancing your mortgage can be a great way to lower your interest rate and reduce your monthly mortgage payment, but it can also impact your credit scores.
Credit Myths and Facts You Should Know
How much do you know about credit? Take our true/false quiz to test your credit IQ.
Quiz: How Much Do You Know About Your Credit Scores?
Your credit scores can play a role in buying a home, getting a job or getting a loan. Take our quiz to see how much you know about credit scores.
Credit Scores and the Home Buying Process
Thinking about purchasing a home? It's important to know the role your credit scores can play in the home buying process.
How Are Credit Scores Calculated?
Learn about the factors that affect credit scores, keeping in mind there are many different credit scoring models.
How Can I Check Credit Scores?
Credit reports from the three nationwide credit bureaus don't usually include credit scores. But there are several ways to check credit scores.
[Infographic] What Affects a Credit Score?
A credit report is a summary of your credit history. How are credit reports related to credit scores – and why do credit scores matter?
Will Checking Your Credit Hurt Credit Scores?
Many people are afraid to request a copy of their credit reports out of concern it will negatively impact credit scores. Checking your own credit is what's called a "soft" inquiry. Learn more.