How to Know if I Have a Bad Credit Score

What does your score mean?

If you suspect you have bad credit or have just been turned down for something you have applied for due to your credit, it is important to actually research what that means. If you need to repair your credit to increase your score you will need to understand how bad it actually is.

Instructions

1. Order a copy of your credit report. According to the Fair Credit Reporting Act, you have the right to a free credit report once a year from all three of the bureaus. You can order a tri-merge report with all of your credit information and scores together or individually from TransUnion, Equifax and Experion.

2. Institutions have different parameters for extending credit for credit cards as well as lending money for mortgages, auto loans and personal loans. Even a lender who issues loans to people with excellent credit as well as sub-prime credit offer different interest rates and terms based on credit scores and history.

3. There are no set lines in where you rate in credit as it is up to the lender, but there are some general guidelines to give you an idea of where you stand. If you were using grades like you would be familiar with in school, an A would be anything 760 or above. A B would be between 700 - 759. A C would be between 660 - 699. A D would be between 600 - 659. Anything 599 or below is sub-prime and there are only certain lenders that will lend in this credit range. If they do, there are significant restrictions to what is available and higher interest rates for the increased risk.