Why Is My Credit Score Important
My credit score is the key to my financial future. It is the key that will open doors that will allow me to buy my own home, obtain car insurance, get lower interest rates on loans that I apply for, and to even buy a cell phone.
Credit scores are used by potential lenders to gather information from credit reports, provided by three credit bureaus: Experian, TransUnion and Equifax, to represent individual creditworthiness. Credit scores are broken down into 5 components; payment history, amounts owed, types of credit, and length of credit history and all play an important role in determining how credit scores are calculated. Scores generally range from 300-850, with 300 being the poorest possible score and 850 being the highest and best possible score. Credit reflects financial power. A higher credit score indicates that my current financial circumstances and historical behavior demonstrate how dependable, financially responsible, and trustworthy I am as a person. Therefore, the more lenders that find you financially responsible, the more financial freedom you will build.
Credit reflects financial power. My credit score is the key to my financial future. Every student loan I apply for and every credit purchase I make can have a negative or positive impact on my credit score. My credit score is very important because if I do not choose to make wise …show more content…
Many employers are performing credit checks as part of their screening process. It plays an important role in a potential employer’s opinion of me. Bad credit management can reflect bad character in the eyes of some employers. Some companies assume that bad credit implies that I may be just as irresponsible at showing up for the job as I am at paying my bills or paying off my student loans. Taking steps like making sure my bills are paid on time, paying off my debt and keeping credit card balances low, will all contribute to me building good credit
Credit scores are used by potential lenders to gather information from credit reports, provided by three credit bureaus: Experian, TransUnion and Equifax, to represent individual creditworthiness. Credit scores are broken down into 5 components; payment history, amounts owed, types of credit, and length of credit history and all play an important role in determining how credit scores are calculated. Scores generally range from 300-850, with 300 being the poorest possible score and 850 being the highest and best possible score. Credit reflects financial power. A higher credit score indicates that my current financial circumstances and historical behavior demonstrate how dependable, financially responsible, and trustworthy I am as a person. Therefore, the more lenders that find you financially responsible, the more financial freedom you will build.
Credit reflects financial power. My credit score is the key to my financial future. Every student loan I apply for and every credit purchase I make can have a negative or positive impact on my credit score. My credit score is very important because if I do not choose to make wise …show more content…
Many employers are performing credit checks as part of their screening process. It plays an important role in a potential employer’s opinion of me. Bad credit management can reflect bad character in the eyes of some employers. Some companies assume that bad credit implies that I may be just as irresponsible at showing up for the job as I am at paying my bills or paying off my student loans. Taking steps like making sure my bills are paid on time, paying off my debt and keeping credit card balances low, will all contribute to me building good credit