Credit Score

Any time you call Be Free Financial you will be provided with your credit score at no charge for you. This is a vital tool in establishing your credit health. Your credit report will reflect all items that are affecting your credit score in a negative manner. There are many factors that can impact your score in both a positive and negative way, understanding these factors is essential in achieving financial health.

Your credit report is a written evaluation of everything that is impacting your credit score. This score allows potential lenders to determine how responsible you are with credit. This number ranges from 300 to 850. It is determined by the following factors:

  • Your Payment History
  • The number of accounts you have paid on time, accounts that are past due, accounts in collection, charge offs and bankruptcies.
  • The amount you owe, which includes outstanding balances
  • The amount of time you have had credit
  • How long your credit accounts have been open
  • Recent credit inquiries
  • A diverse selection of types of credit

There are many benefits to having a healthy credit score. For example, it will be easier to obtain loan approval, have cheaper interest rates, easier time renting properties, better chance of getting a job and an advantage to get better credit deals.

There are many factors that can help you keep a good credit score. This includes paying your bills on time, having only a small outstanding balance in proportion to your total credit line and having only a small amount of credit cards, instead of a dozen.

There are also many factors that can hurt your credit rating. This includes missing payments or failing to pay the minimum amount that is due, having delinquent loans, maxing out your credit cards, having a short credit history and declaring bankruptcy.

By obtaining your credit history you will receive a clear picture of your financial situation and how it is affecting all aspects of your life.