Credit Score Frequently Asked Questions
What is a FICO score?
The FICO score is a branded credit score developed by Fair Isaac Corporation.
Why are my credit scores from each bureau different?
Different credit bureaus have different information in your credit report which can make your credit scores different at each.
How is my credit score calculated?
Your credit score is calculated using five pieces of information: payment history, amount of debt, age of credit, mix of credit, and credit inquiries.
Why Don't I Have a Credit Score?
If you have a little to no credit history, you may not have a credit score.
Will Multiple Loan Applications Hurt My Credit Score?
You're encouraged to shop around for the best loan rate. Will multiple loan applications hurt your credit score? They may not.
Does My Cell Phone Payment Affect My Credit Score?
You pay a cell phone bill every month, just like a credit card, but does a cell phone payment affect your credit score in anyway? You might be surprised at the answer.
Who Calculates Credit Scores?
Your credit score is a three-digit number based on the information in your credit score. Who calculates your credit score?
Does Closing a Credit Card Help or Hurt My Credit Score?
Credit cards play a major role in your credit score. If you close a credit card will it help or hurt your credit score?
How Will a Late Payment Hurt My Credit Score?
A late payment is never good for your credit score, especially since 35% of your credit score is based on your payment history.
How Will Debt Settlement Affect My Credit Score?
You may consider using debt settlement as a solution for your credit card debt. Unfortunately, debt settlement could have a negative impact on your credit score.
Will a Bank Overdraft Hurt My Credit Score?
Payment history is 35% of your credit score, but does that include bank overdrafts? Learn whether overdrafting your bank account will hurt your credit score.
What is a Good Credit Credit Utilization Ratio?
Your credit utilization affects 30% of your credit score. The higher your credit utilization ratio, the lower your credit score. The best credit utilization is 0%. A good credit utilization ratio is below 30%.
What is a Hard Inquiry?
There are two types of credit report inquiries: a hard inquiry and a soft inquiry. A hard inquiry will hurt your credit score, while a soft inquiry will not.
What is a Soft Inquiry on My Credit Report?
There are two types of credit report inquiries - hard inquiries and soft inquiries. Soft inquiries don't hurt your credit score while hard inquiries do.
How Often Does My Credit Score Change?
Your credit score could change as often as daily depending on how often your information providers are updating your credit report.
Will an old address on my credit report hurt my credit score?
Your credit report might lists nearly every address where you’ve ever lived. Fortunately, those old addresses won’t hurt your credit score since your address isn’t included in your credit score.
Does Debt Affect My Credit Score?
Your debt can affect your credit score. Debt affects your credit score in a good way if you have low debt. However, having a lot of debt can hurt your credit score.
Will a Prepaid Credit Card Improve My Credit Score?
A prepaid credit card won't improve your credit score because it's not an actual credit card and doesn't report to the credit bureaus.
Will Breaking My Lease Hurt My Credit Score?
The lease breaking itself won't hurt your credit score. However, unpaid rent or a lease breaking fee could hurt your credit score.
Will renting an apartment help my credit score?
If you're renting an apartment to help your credit score, you may be disa
What is the credit score range?
There are a few different credit scores with different credit score ranges. Knowing the credit score range can help you figure out whether you have a good or bad credit score.