7 Things to Know About Credit Score
A Credit Score represents an individual's credit worthiness. The score which is ranged between 300-900, helps banks and financial institutions determine your repayment capacity. A higher the credit score suggests lesser probability of a default. Here are some of the important facts you should know about Credit score: Credit Score and Credit Report are different : A credit score is 3-digit number that summarizes credit report of an individual. It determines his/her ability to make repayments. Meanwhile, a credit report is a summary of an individual’s credit history such as credit accounts, debt information and so on. Checking your own score is harmless : When an individual checks his/her own score it is termed as a soft enquiry. A soft enquiry does not have any impact on your credit score. Meanwhile, a hard enquiry which is done by banks and lenders does affect your credit score. Ideal Credit Score : A credit score of 750 and above is consid...