Actions

  Print Article
  BookMark Article

Author Login    Author Login

Important
Existing members will have to use the lost password facility to get new username and new password

Welcome Guest! Please login or create an account.

Username:

Password:



If you do not have an account yet, you can register ( Here ), or you may retrieve a lost user/pass ( Here ).

Navigation    Navigation

   10 newest articles RSS

Author Highlights    Featured Author

Allen Sundler
Toronto

View My Bio & Articles


Nic Blair
Will Clayton

View My Bio & Articles


Jonny Smith
London

View My Bio & Articles


Other Websites    Websites of Interest

Difference Between Credit Score And Credit Report

Author : Jayson Douglas


One of the questions most people ask when it comes to their credit is what is the difference between a credit report and a credit score. The answer to this is very simple but for you to completely understand how to use both you need to know the issue more in-depth.

First of all your credit helps you with everything from getting a car or home loan to opening up a business. Credit is the lifeblood of your finances and those with bad credit know how tough life can be if you are constantly turned down for any type of credit whether its a simple credit card or mortgage for your dream home. As the economy has more downturns now than in many years past its more important than even to make sure you understand issues about your credit.

A credit report can be explained in simple terms as the history of your credit with all of what you've done in the past how ever many years and many times it's even referred to as your credit history. There are many reasons why a company would report to the credit agencies and then there are some things you would think would appear on your credit report but simply don't. That is a much more in-depth subject that would take many pages to write in itself.

Your credit score on the other hand is pretty simple with it basically giving you an overview of how good your credit is with the higher the score the better and the lower the score the worse. There is also the case where you have no credit history at all which is common for students and young adults who don't have a mortgage, car loan, and so on. Your credit score can have a range of 300 to 850. According to FICO, the average credit score is around 723 as of 2006.

So overall the difference between credit report and credit score can be explained with the school analogy that your credit report is your paper and the credit score is the grade. While this analogy isn't perfect it does explain in simple terms the difference between the two and how they affect each other. So remember that your credit is one of the most important parts of your finance so make sure you learn as much about it as possible as well as know what's on your credit report and what your credit score is.


Author's Resource Box

Jayson is a writer who covers many different topics including personal finance for the website MyFinanceHQ where he covers topics such as what is a good credit score and highest credit score possible just to name a few.

Article Source:
Articlebliss

Tags:   finance, personal finance, credit score, credit repair, credit report,

Author RSS Feed   Author RSS Feed     Category RSS Feed   Category RSS Feed


 

  Rate This Article
Badly Written Offensive Content Spam
Bad Author Links Mis-spellings Bad Formatting
Bad Author Photo Good Article!
 

 

 

 

Submitted : 2011-08-09    Word Count : 456    Times Viewed: 474