Your credit is an important part of debt management — bad credit can cost you a lot of money, but a good credit can be an enabler that allow you to do more things for less money.
This section covers information about your credit, credit scores and how to maintain a good credit profile. In addition to these articles, check out related articles in these sections: borrowing and lending,
debt reduction, and credit cards.
Regardless of your financial situation, your credit score is an essential aspect of your finances. This is especially true if you’re planning to borrow money for any reason. With a better credit score, you could qualify for lower interest rates when you borrow, e.g., home mortgage, car loan, and other types of loans. As such, … Read more
Do you want to know your credit score but are not sure where to look? Here, I will walk you through the three main ways you can check your scores for FREE and explain the different types of scores. Whether you plan to borrow money or not, your credit scores are important, and you should … Read more
What number is considered a good credit score rating? On a scale that goes from 300 to 850, two of the three credit bureaus and myFICO® consider 670 as the lower end of the GOOD credit rating. On a more conservative side, you can probably consider anything above 720 as the definitive starting point for … Read more
One of the first steps to help you better understand and improve your credit is to get your credit reports. Your reports give you a better understanding of what’s going on and offer you the opportunity to spot mistakes that you may want to dispute. What is a Credit Report A credit report is a … Read more
In What is a Good Credit Score? post, I shared various ways you can use to get your credit score for free. I also mentioned the myFICO Free Credit Scores Estimator tool, which will give you a free estimate of your scores. The calculator asks you ten questions to come up with an estimated range … Read more
The financial world today is fraught with pitfalls. One of the biggest issues is your credit score. Lenders — and others — check your credit score regularly to see what sort of default risk you present. Your credit score is largely based on the information that is reported to the major credit bureaus, so it … Read more
Not too long ago, I switched to a different Internet provider. When I called to set up my account, the customer service rep asked for my Social Security number. I wondered why it was needed, and he told me that they would be checking my credit. “Is this going to be a hard pull?” I … Read more
As you have probably heard, the fastest growing crime in the U.S. is identity theft. One of the ways that this is carried out is when someone uses your personal information, including your Social Security number, to open a credit account in your name. This can affect your ability to open your own credit account, … Read more
We hear a lot about how important it is to have a good credit rating. Indeed, we are often told that having good credit is important, but we aren’t told why. For those who prefer to use the money they already have, and do not want to be involved with credit, a good credit rating … Read more
One of my loans at Lending Club became “31-120 days late” yesterday. This means the borrower is not making his monthly payment, and I could end up losing that money. Since I have 20 active loans, this represents a 5% loss if the loan should default. Curious, I dug a little deeper, and as anticipated, … Read more