Your Credit Score – Big is Beautiful!

Your goal needs to be a credit score of 800 or more!  I heard from someone in California this week who was laid off with the Strike.  Her score was mid 500’s… not close to her goal!

Because your credit report is a snapshot of your credit at a particular moment in time, new information is constantly flowing to your unique report.  Literally every credit action you take to apply for credit, make a payment, change your address, or an inquiry from a prospective creditor will impact your score.

Your credit score, however, is technically not a part of your credit report.  The report details the transactions and history of your credit.  The score is essentially a by-product of the report.  A Credit Score gives a potential creditor the ability to make a quick decision about their credit risk in extending credit to you.

If you request a copy of your credit report from Equifax, TransUnion or Experian they will include your score and an analysis of the factors affecting your score.  Remember – your score is a reflection of what has happened on your report in the last 90 and an estimate of what you might do with credit in the next six months – BASED ON A COMPARISON TO OTHER PEOPLE WITH A SIMILAR REPORT.  As the Credit Crunch gets worse – the models that make up credit scores will likely change.  THIS MEANS YOUR SCORE COULD GO DOWN, even if you have not changed any of your habits.  This is why we think EVERYONE should understand how their report, and score work!

If you want more information about your credit, contact Steve and Eleanor Thorne, Meridian Residential, Cary,NC.  919-459-1313.  http://www.stevethorneonline.com