"Where can I get my free credit rating?" It's such a buzz lately that every credit consumer is recommended to get a credit report.
So what really is credit report? This is a type of documentation where all the accumulated transactions that ever happened between you and other agencies and merchants using the credit line.
The importance of this document is its transparency and detailed inquiry.
It reflects each and every authenticated transaction using your name and number.
The next big issue in the credit world is the credit rating.
What credit rating is all about is linked with the report mentioned above.
It is basically a grade which is given to a consumer based on the paying behaviour he or she does.
The credit score or rating has been around for many years now and has evolved into many calculation systems that different agencies adopted.
But no matter how the score is being calculated, the fact still remains that the score will see you through (literally).
Credit scoring is not free per say.
Not even the three biggest bureaus give this service.
What is free is the personal publication of your credit report (done annually as mandated by the federal law).
"How is this important in my life?" The rating will prove your good behaviour in paying as well as the amount of balance you owe to the banks, creditors and lenders.
This rating is usually a three digit number ranging from 350 - 850 and some 300 - 800.
The higher the score, the better.
Financial agencies will look at the credit score that you have and will try to judge you based on it.
If they think that your score is really low, they'll think you are