Credit Reports and Scores

Front

What is a credit score?

Back

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

Front

What is considered a poor credit score range?

Back

A credit score below 580 is generally considered poor.

Front

Name the three major credit reporting agencies in the U.S.

Back

Equifax, Experian, and TransUnion.

Front

True or False: A landlord can report unpaid rent to a credit reporting agency.

Back

True.

Front

What does a credit report contain?

Back

A credit report contains information about an individual's credit history, including accounts, payment history, and inquiries.

Front

What factors influence a credit score?

Back

Factors include payment history, credit utilization, length of credit history, types of credit, and new credit inquiries.

Front

What is the purpose of a credit report?

Back

The purpose of a credit report is to provide lenders with information about a borrower's credit history to assess risk.

Front

How can you improve your credit score?

Back

You can improve your credit score by paying bills on time, reducing debt, avoiding new hard inquiries, and checking your credit report for errors.

Front

What is the impact of a high credit score?

Back

A high credit score can lead to better loan terms, lower interest rates, and increased chances of loan approval.

Front

What is credit utilization?

Back

Credit utilization is the ratio of your current credit card balances to your credit limits, expressed as a percentage.