Improving your Credit Record

According to data from Fair Isaac Corp., a California-based company that developed the credit score, (Its own score is called the FICO score.) your credit score consists of the following:

 

 

 

 

 

How FICO® Scores Work

• When you apply for credit – whether for a credit card, a pool loan, or a mortgage – lenders want to know what risk they’d take by loaning money to you.
• FICO scores are the credit scores most lenders use to determine your credit risk. You have three FICO scores, one for each of the three credit bureaus – Experian, TransUnion, and Equifax. Each score is based on information the credit bureau keeps on file about you. As this information changes, your credit scores tend to change as well.
• Your 3 FICO scores affect both how much and what loan terms (interest rate, etc.) lenders will offer you at any given time.
• Taking steps to improve your FICO scores can help you qualify for better rates from lenders.

More Information About...

• How Credit Scores work, How a Score is Calculated

 

This information was kindly provided by Fair Isaac Corporation - http://www.myfico.com/