TopConsumerReviews.com
      May 28, 2018

Home  >  Credit Reports  >  Articles

Best

Credit Reports

  1. Free Credit Score
  2. My FICO
  3. Credit Reporting
  4. Credit Report
  5. Free Score 360

Your Information Is Secure
101 Tips to Raise Your Credit Score Newsletter

Latest Reviews

Business Cards

Dancewear

Fitness Clothing

Golf Clubs

Graduation Invitations

Green Cards

Home Warranties

Personal Checks

Refrigerators

VPN Services

 

Related Articles

How Often Should You Check Your Credit Report?

Why Is A Good Credit Score Helpful?

What Kind Of Information Will Your Credit Report Contain?

What Can You Do If Your Credit Report Is Wrong?

How You Can Raise Your Credit Score If Itís Low

 

Top Consumer Reviews Articles

TopConsumerReviews.com provides unique articles that you won't find anywhere else on the internet. These articles are designed to help you make the most informed decisions possible.

Why Is A Good Credit Score Helpful?

A consumerís credit history is the barometer for their financial health.

There was a time when good credit was only important in securing a loan for a large purchase, such as a house. Nowadays, a personís credit history affects every aspect of their life, from jobs to rates on car insurance. Consumers with poor credit will have a lot of doors closed to them.

There are three major credit reporting agencies in the United States: Equifax, Experian and TransUnion. Each agency compiles a credit report on consumers based on their financial histories. Financial histories include bank accounts, credit card accounts, auto loans and even bankruptcies and foreclosures. Any time a consumer has taken out credit, it is included in their report.

Credit reporting agencies use that information to assign a credit score to consumers. The score is ascertained through calculating a mathematical algorithm, which extracts data from the report to generate a three-digit number. Scores can range from 300 to 850. Consumers who have a credit score of over 700 are considered financially stable and desirable individuals with whom to conduct business. Individuals with scores under 500 generally do not secure new loans or credit, and can be subjected to much higher interest rates than their financially-stable counterparts.

There are many reasons why a good credit score is helpful.

In addition to resumes and interviews, employers also have begun to give credence to potential hiresí credit histories. In a recent nationwide survey, 69 percent of employers admitted to using an applicantís credit report as part of the hiring process. The Fair Credit Reporting Act requires any employer who wishes to view a potential employeeís credit report to first seek permission from the person. Persons with higher credit scores are seen as more honest, hardworking employees and employers will lean toward hiring someone with an excellent credit score over someone with a poor one.

Credit card companies also use a consumerís credit score to determine whether they wish to extend credit to that individual. Consumers who have excellent reports can expect to receive unsolicited offers from credit card companies quite frequently. Credit card companies want to do business with those who are financial stable, offering lower interest rates and other incentives to encourage them to open accounts.

Mortgage lenders also tend to provide better interest rates and loan terms for those with a good credit score. When applying for a mortgage, most brokers prefer consumers whose credit score is at 700 or higher. These are borrowers who have solid financial lending histories and are seen as very low risk for defaulting on a mortgage. Those with scores under 700 can find themselves subject to higher interest rates, which in turn results in larger monthly payments.

Utility companies also determine whether to provide service based on a personís credit score. Most utilities are paid for after they have been used by the consumer, making this a very risky venture for the utility company if a person has bad credit. Utilities have little recourse other than stopping service if a person fails to pay for the gas, electricity, water, phone or cable services they already have used. If a consumer has a bad credit score, it can affect whether a utility company chooses to provide service. TopConsumerReviews.com has reviewed and ranked the best credit repair services available today.

Twin Cities credit unions report healthy growth

The largest credit unions in the Twin Cities had a good year financially. All credit unions on The List saw an increase in assets, nearly all recruited more members and more than half reported an increase in net income year-over-year. The Business Journal ...

Published:  Fri, 25 May 2018 07:16:00 GMT



'Free' credit report scam

Joel Hesch spent 15 years as an attorney in the Fraud Section of the Department of Justice helping administer the national whistleblower reward program. He is the author of "Whistleblowing: A Guide to Government Reward Programs: How to Collect Millions of ...

Published:  Sat, 19 May 2018 03:23:00 GMT



Credit reporting vital to bad loan management-CBAN

The Chairman, Credit Bureau Association of Nigeria, Mr. Tunde Popoola, says proper and timely credit reporting plays a significant role in managing or mitigating credit or operational risk in the economy as a whole. He said the system was an enabler to ...

Published:  Thu, 05 Apr 2018 09:12:00 GMT



Police report rash of credit card fraud

POCATELLO, Idaho (KIFI/KIDK) - Pocatello Police say they are seeing a large number of victims of fraudulent credit card accounts this month. Police say there are some basic steps victims should take to clear up an account and your credit history.

Published:  Wed, 21 Mar 2018 19:38:00 GMT



Break Up the Credit-Reporting Racket

Disreputable corporate executives nationwide are bowing in thanks for Equifax, the credit reporting bureau responsible for the most damaging data breach in American history. Hackers stole Social Security numbers, birthdates, addresses, credit card and ...

Published:  Tue, 12 Sep 2017 03:02:00 GMT



Lawmakers push credit report legislation after Equifax breach

Lawmakers are putting forward legislation to catch and correct credit reporting errors in the wake of the massive Equifax hack in which the personal information of 143 million Americans was stolen. Democratic Sens. Brian Schatz Brian Emanuel Schatz Trump ...

Published:  Mon, 11 Sep 2017 20:24:00 GMT



Share Us!    Share TopConsumerReviews.com on Twitter Share TopConsumerReviews.com on LinkedIn Share TopConsumerReviews.com on Google+ Share TopConsumerReviews.com on Pinterest

Home      About Us      Terms & Conditions      Privacy Policy      Contact Us      Disclosure