Credit Score Review

Front

What is a credit score?

Back

A credit score is a numerical representation of a person's creditworthiness, indicating the likelihood of repaying borrowed money.

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What is the recommended debt-to-credit ratio for a good credit score?

Back

30%.

Front

What does a grace period in credit card terms refer to?

Back

The time you have to pay your bill before interest starts accruing.

Front

Which service providers may use credit scores to determine service eligibility or pricing?

Back

Utility companies, car loan lenders, and credit card issuers.

Front

What does a credit score mainly indicate?

Back

The risk of not repaying a loan.

Front

What does APR stand for?

Back

Annual Percentage Rate.

Front

What is the cost of credit expressed as a yearly percentage?

Back

APR.

Front

What factors can affect your credit score?

Back

Payment history, credit utilization, length of credit history, types of credit used, and new credit inquiries.

Front

What is the impact of late payments on your credit score?

Back

Late payments can significantly lower your credit score.

Front

How often can you check your credit report for free?

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You can check your credit report for free once a year from each of the three major credit bureaus.