Truths & Myths About Your Credit Score
Your credit score is a number between 300 and 850 that reflects your credit risk. It gives lenders a snapshot of how likely you will be to repay the loan they are considering giving you.
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Checking Your Own Score Pulls it Down
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This is a common myth. Your score is not affected by you checking it. It is minimally affected when you apply for new credit accounts.
You Have to Pay a Fee to Find out Your Credit Score
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Yes, this is true. However, you do not have to purchase a monthly credit monitoring package to get it. You can pay a small one-time fee to www.annualcreditreport.com, when you get your free credit report.
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I Have to Work with a Credit Repair Company to Improve my Score
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Often this is not the best way to improve your score. Pay your bills on time, lower your balances and reduce the number of credit card accounts you have.
A Bad Credit Score Never Changes
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False; you can improve your score by taking proactive action like paying down credit cards and paying every bill on time.
Minorities are Treated Unfairly about Credit Scores
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Age, gender, race, and marital status are not included in your credit report all. It is only credit-related information.
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