How to Obtain Your Credit Fico Score
Posted on | August 26, 2008 |
Even if you’re not a financial expert, you probably realize that certain factors will play a big part in both your financial prosperity. Credit FICO scores and other financial jargon have become hot topics in the last few years. Since many don’t understand their credit FICO score or how to increase it, they do not understand what is happening to them financially. Luckily, your first step, finding out what your credit FICO score is, is now easier to do than it was a few years ago.
What is a credit FICO score?
People generally know what their credit score is; however, they do not know how it is calculated and what FICO means. Fair Isaac & Company is the pioneer of the score. As far back as 1950, the company found out that a serious problem existed with the way lenders considered their potential borrowers. It was then that they created a system that provides a number to represent your past borrowing and paying activity to give future lenders an idea of your past.
What is the calculation for a credit FICO score?
There are many people who have received copies of their FICO score report and been unable to understand what it means or how it’s formulated. For better or worse, many people find themselves in this situation just as you have. Five primary specifics are used to calculate your FICO score for all intent and purposes. They look at other things, as well, but the following five things are the primary indicators that a person is going to be able to repay their bills on time.
The amounts of late payments and how often they occur Time length of established credit How much available credit is remaining in their credit line How long a person has lived at their current address Negative strikes against you (bankruptcy, foreclosures, or collections, late payments etc)
How does someone find his or her FICO credit score?
Thankfully, there are many ways to get your FICO score. The three main credit reporting bureaus all offer this number with their credit reports, but the number might not be consistent. Your credit FICO score can, and often does, vary from one reporting agency to the next. All of the numbers could be used, or possibly just the median depending on the type of loan you are trying to get.
Ask one of the three major credit reporting agencies for a copy of your credit report that includes the FICO score. Make sure you request a report that includes your FICO score as some credit reports are sent out without this pertinent information. Depending on what you choose, they can send the information through the mail, or you can view the information from the Internet.
Comments
Leave a Reply