Why do u need a credit score? what is it used for?
Answer:
You don't need one. Pay cash for your cars. (I've got two completely blinged out used cars that we paid cash for. Used = great deal.) You can find a mortgage company that will underwrite a mortgage without a credit score.
All a credit score does is tell people that you're in debt.
A credit score is used by money lenders to weigh if you are a good risk or not. Your score is weighed on many differant factors including late payments, lack of credit and too high of debts. Along with many other factors.
Credit Report Myth or Reality
By: Herman Randolph
This web site has a wealth of information. Plus, companies that you can explore!!
Good luck
In the United States, a credit score is a credit rating that represents an estimate of an individual's financial credit worthiness as calculated by a statistical model. A credit score attempts to quantify the likelihood that a prospective borrower will fail to repay a loan or other credit obligation satisfactorily over a specified period of time. A credit score is typically based on the information in an individual's credit report. Lenders such as banks and credit card companies use credit scores to manage the risk posed by lending money to consumers. Examples of such uses include determining who qualifies for a loan, assigning an interest rate, assigning credit limits, and managing accounts that are already open (for example, treatment of accounts that are in default). The use of credit or identity scoring prior to authorizing access or granting credit is an implementation of a trusted system. While the most widely-known score in the United States is FICO, there are many others, such as NextGen and Vantage.
They just want to be all in your business to see if you are really paying you bills on time and not buying things and not paying for it.
Now a days you need a credit score almost for every thing . To buy a house,car,to get credit, open a bank account, and most of the big corporations of job fields are even asking for a credited scoring report. I've heard they just want to do this to see how responsible you are . It kind sucks. Especially if you have messed up credit. If your a young individual be careful and don't open alot of credit. It is easy to open them but the cards can get in into ALOT of financial issues.
IT IS USED TO DETERMINE YOUR ACCOUNTABILITY AND DEPENDABILITY FOR FUTURE LARGER LOANS.LIKE MORTGAGES THE HIGHER THE SCORE.MEANING YOU PAY ON TIME AND HAVE NEVER DEFAULTED THE MORE GENEROUS THE OFFERS AND RATES YOU CAN WORK WITH IN YOUR FINANCIAL LIFE
I asked the same question about 3 months ago and read all about credit, applied for a credit card using the web site. talked with the web site owner, he gave me links to the best articles explaining credit. They are now on his front page. The articles on the web site helped me understand credit, how it works, the score and how the world rates it.
woot cctcc. exactly!
more specifically, it tells them you love debt..
Credit scores are a way for credit companies and landlords to evaluate your credit worthiness without looking at your credit report.
This sucks because they look at a snapshot (score) and not the whole story (report).
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