Cataluña lab 1
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Credit reports are generated by the three major credit bureaus, Equifax, Experian, and TransUnion, and include details of amounts owed to companies, payment history for accounts including utilities and medical bills, and credit history length. A FICO credit score ranges from 760 for excellent credit to 620 for poor credit, with payment history making up 35% of the score, amounts owed 30%, credit history length 15%, new credit 10%, and credit types 10%. Individuals can improve their FICO score by paying bills on time, avoiding opening multiple new accounts unless needed, keeping balances low at less than 25% of the credit limit, and reviewing their credit report yearly.
Cataluña lab 1
- 1. GIVE YOURSELF SOME CREDIT Understanding your Credit ReportMarc KantonEconomics 101
- 2. CREDIT REPORT FUNDAMENTALSGenerated by the three companies Experian,Equiffax, TransUnion Factors How much you owe to each company Payment history for each company Includes utilities, medical expenses, rent
- 3. How FICO Is CalculatedRange - 760 (excellent ) to 620 (poor) 35% - Payment History 30% - Amounts owned 15% - Credit history length 10% - New credit10% - Credit types
- 4. Improve Your FICO Score Improve Your FICCO Score Pay bills on timeAvoid opening many new accounts Open only if you intend to use Keep balance low Less thatn 25% of credit limit Review credit report yearly