Your credit score is a crucial component of your financial health, and plays a key role in determining what loans you qualify for and the interest rate you will pay on all types of things, from mortgages to renter's insurance to car loans. As critical as this little number is, it's a shame that nearly half of Americans are in the dark when it comes to their credit scores.
The Importance of Your Credit Report
Your credit report houses all sorts of pertinent information about your financial background, including your credit payment history. Credit scores have become such a huge influence in the lives of consumers that millions are greatly disadvantaged by their lack of knowledge about their scores. Low credit scores can often cost car buyers over $5,000 in additional finance fees, and can cost home buyers thousands of dollars in additional costs associated with mortgage loans.
As important as the information on your credit report is, you need to make it a priority to get your hands on it to help you not only find out what your current score actually is, but what is affecting it, and if there are any errors on it that are unfairly dropping your score.
Why is Your Credit Score Report So Helpful?
Considering the importance of credit scores on your financial portfolio, it makes sense to have a clear understanding of the health of your credit, which can only be identified on your credit score report. The information in your credit report is used to generate your credit score, which is what your potential lenders will see before they decide to approve you for a loan.
Your credit report lists the types of credit that you use, how long your accounts have been open, and if you've paid your bills in full and on time. It gives lenders information about how much credit you have used, and if you are looking for new sources of credit.
Many facets of your borrowing habits will be outlined on your credit report. Lenders use the information on your credit report to gauge their credit decisions on their applicants and customers from credit reporting agencies, including Equifax, TransUnion and Experian. Lenders and other companies use the information in your credit score report to assess your applications for credit, loans, insurance, and even renting a residence.
How Do You Get Your Credit Report For Free?
One way to access your credit report for free from the official government website AnnualCreditReport.com. However, you are only permitted to get one credit report from each of the three major credit bureaus for free once every 12 months, so if you want to check it more often during the 12-month period, you'll have to pay for it.
Luckily, there are other ways to gain access to your credit report for free, such as through Mint.
Mint.com is the Best Place to Go for Your Credit Score Report
Credit scores are an essential component of your financial portfolio. Now Mint offers a new feature that allows you to access your free credit report summary to help you understand what is influencing your credit score so you can learn how to improve it. You'll be able to find out your credit score for free, without ever having to use a credit card.
This new feature is just an extension of Mint's commitment to giving consumers like you access to critical information that influences your financial health. All you have to do to get your free credit score from Mint is log into your Mint account and get started. If you're not yet a member of Mint, learn more are Mint.com about becoming a member to gain access to all their helpful financial tools today!