Why High Credit Ratings Are Good

Consumers with high credit ratings (scores) are more likely to obtain lower interest rates and better terms on loans, including mortgages, and credit cards (higher credit scores can also result in lower insurance rates). Landlords and potential employers may also view your credit report and/or credit score.

Consumer advocates and financial experts agree that consumers should check their credit history report at least once a year to safeguard their credit rating. Checking all three credit reports is encouraged, since each credit bureau collects information from different lenders. Consumers have the right to look at their credit report without it affecting their credit or credit score.

When you request your credit report it/'s called a "consumer pull" and has no affect on your credit. Consumer reporting companies sell the information in your report to creditors, insurers, employers, and other businesses with a legitimate need for it. They use the information to evaluate your applications for credit, insurance, employment, or a lease.

FICO offers a package called Score Watch, which is basically a 30-day free trial. When you sign up for Score Watch, you get a free FICO score and credit report. FICO, the most widely known type of credit score is a credit score developed by Fair Isaac Corporation . It is used by many mortgage lenders that use a risk-based system to determine the possibility that the borrower may default on financial obligations to the mortgage lender.

Check your report for free and then you can approach lenders with confidence. Checking your credit reports will not hurt your credit score, so checking your report regularly is the best way to ensure you get the credit you deserve. Checking and keep track of your credit scores and history are the first step you can take to ensuring you have the highest credit scores possible.

Checking your credit twice a year or quarterly is smart to make sure your credit is consistently free of errors and knowing where you stand with lenders. If you are currently working to erase errors, improve your credit score, or plan to get a mortgage in the next year, you may want to watch your credit report monthly.

Reviewing your consumer credit report can also alert you if someone has stolen your identity. Reviews these credit card offers and see if they have quality that meets your needs.

Currently there are three major credit bureaus. Currently, Americans have access to free credit reports once every twelve months. It is important to keep track of the contents of your credit report, as the contents can positively or negatively affect your credit score.

Information here should not be construed as advice and it is offered without legal responsibility or liability. It must be emphasised that you should consult a professionally qualified individual or company (such as an accountant, financial adviser or solicitor for example) should you need advice on your financial situation, as they will be able to tailor their advice to your personal needs accordingly.