Credit Score Ratings
Credit Score Range
Credit scores typically range between 300 and 850. And, of course, you can have a zero credit score, if you have no established credit history.
A lot of people, both young and old, have no credit score. Young people just haven't had an opportunity to buy anything on credit in their name and until they do they will have no creditors reporting to the credit bureaus in order for them to have a credit file with the bureaus.
On the other hand there are a lot of older people who started out in life when it wasn't so popular to buy everything on credit and therefore they have always saved their money and paid cash for whatever they wanted or needed.
The same holds true for the older person as the young person, no creditor has reported any credit activity, good or bad, to the credit bureaus and therefore there is nothing in their credit file on which to calculate a credit score.
Credit scores above 720 are usually considered very good and will bring a lower interest rate to you the borrower and make approval for credit much easier.
To know what your credit score is you can request your credit report from each of the credit bureaus (Experian, Equifax, TransUnion) or you can get a tri merge credit report which gives you a combined report showing all of your credit items and scores from all three bureaus.
The important thing is to get a copy of your credit report and scores so you know where you stand. If you check credit scores and they are good, then you can start leveraging that score to obtain credit for those things that you desire to have, such as starting a new business, buying a home, purchasing a new car, starting a family, etc.
If your scores are not so good then you will know what has been reported about you from your previous creditors. From this basis, you can begin to take the necessary action to improve your scores.
Credit Bureau Score
The score you will receive may be a consumer credit score, which is the one that is calulated for use by creditors such as credit card companies and retail stores.
Don't be surprised if you have lower scores when your credit is pulled by a mortgage company if you are trying to buy a new home. A scoring model that is more strict is used to calculate a score for a larger debt such as a mortgage loan.
Credit Monitoring Service
If you need to get a copy of your credit scores and/or monitor your progress as you begin to take steps to improve your creditworthiness then visit: CreditReport.com.