You can take charge of your credit with all three credit scores. You have a good chance to understand and protect your credit scores over a period of time. A software package like `Equifax Complete’ will help you monitor all three credit scores and will alert you to important changes that have been done to your credit report within the past twenty four hours. Such alerts will definitely protect your credit report. With access to the three credit scores from Equifax, Experian and TransUnion, you will be well aware of what to expect before applying for a loan.
Why are there differences between three credit scores?
The credit scores are computed after using the data from your credit files. The information in these files may be different across the three major credit bureaus. For this reason, it is important to review your credit reports regularly to make sure that the credit file data is accurate. When the credit line balances change, your credit file will also change. Your credit scores will change when your account status changes. This is the main cause for the possible differences between three credit scores.
Interactive Score Estimator to simulate changes to Three Credit Scores
It is good to check the health of your credit on a regular basis. Your credit report becomes a necessary item if you are out looking for a loan. You will have to know your credit scores before you plan to apply for a new credit line. You will know where you stand and can get an idea about how much the loan may cost you. The loan will be attractive if your credit standing is good. You can check out www.annualcreditreport.com or take the help of the Equifax Complete package which gives you a three-in-one consolidated report and three credit scores from the major credit rating agencies. This report will indicate what is making an impact on each of your score. You will get full access to your Equifax credit report and your score with a detailed analysis.
With the Interactive Score Estimator, you will be able to see as to what may happen if you pay down all your debts or increase your credit limits. The `Equifax Complete’ package will give you up to a million dollars in identity theft insurance. You can take advantage of such a credit monitoring service with a monthly subscription of twenty dollars.
What Factors are taken to calculate your Three Credit Scores?
Your credit score will affect many things in your life. It is crucial for you to know about what factors are used to calculate your three credit scores. The calculation of the credit score is under the control of the credit report bureaus. The federal government has made it mandatory for the credit bureaus to make the information available to every person.
There are four factors that make up your three credit scores. The first factor is the amount of money you owe the lenders as they are able to work out your debt-to-credit ratio and this ratio has to be low for you to have a beneficial credit score. The second factor is the length of your credit history. The activity on your accounts has a bearing on the calculation of your credit score. The third factor is new lines of credit. You can avoid opening new lines of credit in a short span of time to avoid your credit score drop. The fourth factor is the type of credit used. The forms of credit that you are using currently or have used in the past are used by the credit bureaus to calculate your three credit scores.