Monday, October 27, 2014

Your Credit Score and Credit Report Are Not The Same Thing

Did You Know That…”Credit score” and “Credit report or Credit history” are not the same thing even though many consumers use the term interchangeably which is a major source of confusion. 

Listen Up:  Your credit report is simple a set of data or record, collected about a person or a business previous borrowing and repaying habit which includes data about the individual’s or business late payment history and even bankruptcy.

The credit score on the other hand, is a 3-digit numerical number or expression based on a level analysis of a person's credit files, which mirrors a person’s creditworthiness. It is a combination of data based primarily on credit report information typically derived from credit bureaus.

ICMS, Inc - Now You Know (Consumer Education Series)