Free Credit Report And Score - Why You Need Them Both By: L. Sampson You keep a record of how much money is in your checking account. Chances are, you keep a running tally in the back of your check book and you balance that with the statement the bank sends you each month. As important as it is to know how much money you have available before you write a check, it is equally important to know your credit score and what is on your credit report. Not knowing these things could cost you money. A credit score helps predict how credit worthy you are Many factors go into determining your credit score including your bill-paying history, the number of credit accounts you have, late payments, collection actions, and outstanding debt. Once this information is compiled, statisticians compare your information with other consumers and give you points for each factor of your history that shows you to be a good credit risk. Your total number of points are added up, giving you your credit score. A credit report shows how credit worthy you have been Simply put, a credit report is a tracking of all of your credit purchases and payments compiled by a credit bureau and made available to any agency that is trying to determine whether or not to give you a line of credit or loan you money. The report lists every account you have open, even if it contains a zero balance. Information published on the report stays on it for 7 to 10 years. Everyone should know their credit score and have a copy of their credit report If you are getting ready to apply for a home loan, you should know what is on your credit report before your lender ever sees it. If there is an inaccuracy, you will have a chance to have it fixed, so it won’t spoil your chance of getting the loan. Having your report in hand will also give you a chance to close any old accounts that you no longer use. Having too many open accounts can influence the amount of credit you are eligible for to receive. Everyone is entitled to a free credit report The law requires each of the three credit bureaus to provide you with a free credit report each year. You may take them all at once or spread them out, but it is important to obtain them and make sure that the information of your credit report is accurate. About the Author: Visit www.abcloanguide.com/freecreditreport.shtml for a list of credit report agencies. View our recommended sources for a free online credit report.

Inside Finance Personal Finance And Student Loans   When you apply for a mortgage, loan or other form of credit, the lending industry will automatically examine your personal credit history. The credit industry argues that it needs the information on student loans as they can represent a significant strain on the graduates' finances – especially following the introduction of top-up fees which results in the average student loans being much larger. Bad Range Debt Secured Loans   Let's discuss about bad range debt secured loans. The repayment period can be stretched to as high as 25 years. The range of loan amount to be sanctioned can be to your liking. Another additional feature for people with bad debts is that with bad debt secured loan the borrowers can improve their credit worthiness i.e. credit score and in future they can get every other type of loan. Home Equity Loan Refinancing   Home equity is the difference between the value of your home and the amount of all that you owe on your home. If your home has an appraised value of $200,000 and all of the outstanding liens against it total $150,000 then your home equity equals $50,000. Low Income Home Loans   Low income home loans are very useful for the people who get the low income. If you have low income and are looking to get approved for a home mortgage loan. Keep-in-mind, however, that the FHA program does require that potential applicants be able to make a down-payment. Consolidating Debts   Debt consolidation programs are undertaken mainly in order to consolidate our debts. These are cheapest form of working and these kinds of debt management program are very useful. But, self-regulated debt consolidation programs do require a certain level of discipline. They do require you to arrange for one or two creditors to accept to take over your existing smaller debts.