Comments on: What is a Credit Score? http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/ My Web Information Blog Sun, 20 May 2012 11:48:18 +0000 http://wordpress.org/?v=2.2.1 By: Tons http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-4 Tons Thu, 24 Jul 2008 22:13:57 +0000 http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-4 <p>Credit scores are designed to measure the risk of default by taking into account various factors in a person's financial history. Although the exact formulas for calculating credit scores are closely guarded secrets, the following components and the approximate weighted contribution of each:</p> <p> * 35% — punctuality of payment in the past (only includes payments later than 30 days past due)<br /> * 30% — the amount of debt, expressed as the ratio of current revolving debt (credit card balances, etc.) to total available revolving credit (credit limits)<br /> * 15% — length of credit history<br /> * 10% — types of credit used (installment, revolving, consumer finance)<br /> * 10% — recent search for credit and/or amount of credit obtained recently</p> Credit scores are designed to measure the risk of default by taking into account various factors in a person’s financial history. Although the exact formulas for calculating credit scores are closely guarded secrets, the following components and the approximate weighted contribution of each:

* 35% — punctuality of payment in the past (only includes payments later than 30 days past due)
* 30% — the amount of debt, expressed as the ratio of current revolving debt (credit card balances, etc.) to total available revolving credit (credit limits)
* 15% — length of credit history
* 10% — types of credit used (installment, revolving, consumer finance)
* 10% — recent search for credit and/or amount of credit obtained recently

]]> By: Tons http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-3 Tons Mon, 21 Jul 2008 20:43:07 +0000 http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-3 4 major credit bureaus collect information about credit card and give you your score namely: Equifax, Experian, TransUnion and Fair Isaac Corporation (FICO). 4 major credit bureaus collect information about credit card and give you your score namely: Equifax, Experian, TransUnion and Fair Isaac Corporation (FICO).

]]> By: Tons http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-2 Tons Mon, 21 Jul 2008 20:40:38 +0000 http://blog.myweb-info.com/2008/07/21/what-is-a-credit-score/#comment-2 If your score is already high, you will want to maintain it to ensure you're getting the best rates around. Make all your payments on time and keep balances low on revolving credit. If your score is already high, you will want to maintain it to ensure you’re getting the best rates around. Make all your payments on time and keep balances low on revolving credit.

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