Free Credit Score- Summary Of Your Financial Activities Of A Year
Free credit score helps you to avail financial support in future on the basis of your credit status
. It is available in the form of a report which contains all the information about the financial transactions executed by you in the past. Generally banks and other financial institutions evaluate the borrower on the basis of his credit score. This report display the past credit history of the borrower.
Many arithmetical and statistical techniques are used to calculate the credit score of a borrower. Free credit score depends on the score of the FICO (Fair Isaac Corporation). There are number of factors which are to be considered while estimating the credit score of a person. These are credit duration, previous payment discipline; latest credit attained and range of credits used.
You can easily avail these reports through internet. There are various agencies that provide these reports online. But, before applying you should make sure that it is legitimate website of that agency. Providing personal information at wrong website can be very dangerous. Three most popular agencies that offer these reports of credit status are Equifax, Experian and Transunion. These reports are available on annual basis and you should try to get your report to know about your credit ratings.
You can easily avail the short term loans if your credit status is good. But if it is bad, then you are in problem as you will not get the loans easily. It is based on the information provided by the lenders in the financial market. So you can know about you financial condition through the report and manage your financial activities in a better way.
This report is an invaluable tool that shows the image of your credit status. It is totally free from all mistakes. So the report can be used to check the creditworthiness of the borrower.