If you want to know How To Check Your Credit Score For Free, keep reading because you’re in the right place.
Let’s start at the beginning, why you’re here:
Chances are you want to apply for a credit card, car loan or any other type of loan, based on this assumption I can safely say that you need to satisfy a certain set of conditions.
Banks and financial institutions take a risk by lending you money – hence, they want to make sure that you are a reliable person and can pay the money back (with interest, of course!)
First, let me give you some relevant background information on HOW your credit score works so you understand WHAT you’re checking on. In order to standardize the whole process of lending and borrowing money, the government has established credit bureaus.
These bureaus record financial information about the citizens of the USA. They have come up with a complex formula for determining the ‘loan-worthiness’ of people who have borrowed or wish to borrow money. This formula is based on a number of factors and such as amount already owed by the person, overall repayment history and so on. In order to be eligible for securing loans from respectable banks at low interest rates, your credit score should be 720 and above.
Whenever you approach any financial institution (such as a bank or other lender) for credit, the first thing they do is check your credit score. If you wish to improve your credit score or if you haven’t used credit cards much in the past but want to apply for a loan – it all begins with checking your credit score.
It would not be an exaggeration to say that your credit score directly affects your quality of life and even your self-esteem. If you have a good score, you can buy that big house and the fancy car that you have always wanted. However, if it’s not high enough – you will have to settle for an “okay” car and a small house in a not-so-good neighborhood. Getting those car and mortgage loans ALSO won’t be terribly easy – you’ll have to struggle hard to find and convince a bank to lend you money.
Even if you do get a loan – the interest rates will be high and they’ll drain you. Many companies don’t want to hire people with a bad credit score. In short, if you have bad credit – your life is going to be full of stress, scarcity and hardship. Fortunately, there are proven ways to rebuild your credit but first, let us find out the easiest and the most reliable way to check your credit score.
There are three credit reporting agencies:
These collect information about people and generate credit reports, which contain financial information such as your credit history, amount owed, whether you have been sued, arrested or have filed for bankruptcy in the past.
Here’s How To Check Your Credit Score For Free:
Pay Attention; You are entitled to one free credit report per year from each of the agencies. You can request all three at once or at different times of the year. Your credit score is not included in the credit reports. However, you can buy it by paying a small fee. In order to apply for a credit report – go to annualcreditreport.com. This website is the only government authorized website for requesting credit reports.
If you wish to order your report by phone, call 1-877-322-8228. You can also download the Annual Credit Report Form (PDF version) that is available online, fill it out and subsequently mail it to the following address if snail mail is more your thing:
Annual Credit Report Request Service
PO Box 105281
Atlanta GA 30348-5218.
When you pay the small fee for your credit score, you usually also receive information on how to improve it. You can find more information about credit scores and reports on this government website: https://www.usa.gov/credit-reports
If you wish you improve your credit, here is a good starting point – start making all your payments on time and never miss a payment. Also, try to minimize debt and start living within your means.
Important: You’re ONLY able to request your score ONCE PER YEAR for each Agency with the above mentioned website. If you want to check your score multiple times in order to monitor your credit as you actively work to fix it – I highly recommend signing up for FreeScoreFinder.com. You can get your score for free, and check it as often as you wish WITHOUT affecting your own credit.
Next step; if you’re really serious about improving your credit score and getting the things you want and deserve out of life, check out the article below talking about Alison’s Smart Money Secret – it has the potential to change your life!