Credit Score Flashcard

Front

What is a credit score?

Back

A credit score is a numerical representation of a person's creditworthiness, based on their credit history and financial behavior.

Front

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

Back

True

Front

Which of the following does NOT affect your credit score? (total amount of debt, amount of new credit, balance in your checking account, payment history, length of credit history)

Back

Balance in your checking account.

Front

True or False: A loan company will check your credit history when you apply for a loan.

Back

True

Front

True or False: Your credit history does not impact your ability to rent an apartment.

Back

False

Front

What factors are typically considered in calculating a credit score?

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Factors include payment history, total amount of debt, length of credit history, and amount of new credit.

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What is payment history?

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Payment history is a record of your payments on credit accounts, including whether payments were made on time.

Front

What is the impact of having a high credit score?

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

Front

What types of payments are usually reported to credit bureaus?

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Credit card payments, car loans, and mortgages are typically reported.

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What is a credit report?

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A credit report is a detailed account of an individual's credit history, including credit accounts, payment history, and inquiries.