#Free Credit Score: Start Here

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What is Credit History?

Extensive information on financial transactions related to you borrowing money or applying for credit is contained in your credit history. It is created when you first borrow money or apply for credit. Your borrowing and repaying of money, late payments (typically when 30+ days overdue) and even past bankruptcies are some of the information that can be found in your credit history. Major lenders (such as credit card companies, banks, auto loan companies, mortgage companies) calculate your ‘credit worthiness’ based on your credit history, which impacts their decision on whether or not to give you credit and at what interest rate if so.

Get a Credit Report And Become Informed

Your credit history can be filled with information, but a credit report will summarize the information. A credit score or rating in most cases accompanies your credit report, which again indicates your credit worthiness thus letting lenders to determine how much to lend you and at what interest rate. Credit reports are generated by three major credit bureaus – TransUnion, Experian and Equifax. The FICO model is used in generating FICO scores between 300-900.

How TX Companies Think of Your Credit

Many aspects of your life may perhaps be affected by your credit history and credit worthiness. It is important that you know your credit. Cash simply cannot be your single method of payment. Good credit is crucial for loans. It plays a determining role when applying for a credit card, qualifying for a mortgage and other financial matters.