WHAT IS A CREDIT SCORE?

A credit score is a three-digit number that is calculated using a mathematical formula based on the information in your credit report. You get points for actions that demonstrate to lenders that you can use credit responsibly. FCB’s score ranges from 0 to 400 points. Your score will change over time as your credit report is updated. Businesses use your credit report and score to see how risky it would be for them to lend you money. It is up to each lender to decide on the lowest score you can have and still borrow money from them. Lenders may also use your score to set your interest rate and credit limit. If you have a high credit score, you may be able to get a lower interest rate on loans, which can save you a lot of money over time.

WHO CAN USE MY CREDIT REPORT AND SCORE?

There are regulations in place to protect your personal information, including your credit report. Usually, your credit report can only be used to:

Lenders, employers or landlords can only use your credit report when you give your consent. Usually, when you sign an application for credit, you allow the lender to access your credit report. Your consent generally lets the lender use your credit report when you first apply and anytime afterward while your account is open.

HOW TO IMPROVE YOUR CREDIT SCORE

The actual formulas used to calculate credit scores are the property of private companies and are not available to the public. This means it is not possible to know exactly how many points your score will go up or down based on the actions you take. However, the main factors that are used to calculate your score include: