4 Credit Score Myths

1) Checking your credit score/history will negatively affect you

This is incorrect. Personal inquiries are considered “soft inquiries”, and soft inquiries do not count against you. Soft inquiries are not part of an individual’s credit score calculation. Check your own score all you want, it will not hurt you.

2) Your score is the only thing that matters to a lender

Incorrect again. Lenders consider a number of other factors as well, such as your income, assets, length at current residency, and employment history, in addition to your credit score. The criteria may also differ from creditor to creditor.

3) Only Lenders and Creditors look at credit scores

Not true. Your credit report and score may be reviewed by potential landlords and employers to determine how you’ve handled your financial obligations. Remember, they cannot review this information without permission.

4) Credit Scores Never Change

Credit Scores are dynamic numbers generated based on the contents of your credit report the moment it is requested. Credit reports change constantly, as will your credit score.

Comments

4 Responses to “4 Credit Score Myths”

  1. Tim on September 19th, 2007 7:18 pm

    Is it true that if you leave unpaid balance, your credit score will increase as long as the minimum is paid?

  2. admin on September 19th, 2007 8:44 pm

    you are better off paying it off if you can

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