Did you know that most Americans don’t know their own credit scores or how credit scoring works? Scores are based on a five core factors. Payment history, credit utilization, average credit age, account mix and inquiries.
Did you know most Americans don’t know that mortgage lenders and credit card issuers use credit scores to determine eligibility?
Having a low score could mean you’ll end up paying higher interest rates. They also take into consideration if you don’t have any credit at all.
Did you know there is a difference between a credit report and a credit score? Credit reports are a compilation of credit related information, indicates whether a person pays their bills on time and how much of their available credit they use. Credit Scores represent a person’s creditworthiness, and are used by lenders to decide whether to lend consumers money and at what rate.
Did you know some Americans believe that personal characteristics, such as age and marital status are used to calculate credit scores? In a survey of Men vs. Women, 38% (women) believed that age is used in calculating credit scores and 48% (men). 34% (women) believed that marital status factors into credit scores, 46% (men). 74% of the women did know that credit bureaus collect the information for scores, but only 68% of men did.
Did you know that the vast majority of college students do not know what a credit score is, let alone know how it works? Every college student should know how their score is going to affect them in the long run. They need to know that once they step out on their own, everything they do will be traced, tracked, and evaluated once they want to start buying cars, a home, or even need a little extra help in the future.
There are multiple ways to stay on top of your credit. Credit Karma has an APP that you can download on your mobile device. They do not give you an Actual score, but they do give you the ability to keep track and stay updated on your score.