Credit Score
What does it mean
A Credit Score is a numerical summation of the content of a person’s credit report. This score ranges from 350 to 850 with higher numbers indicating better historical performance. Each of the three credit bureaus maintain their own credit score for an individual. A Tri-Merge Credit Report is a report where the content from all three bureaus are combined into a single report. A person’s credit score is impacted by the following information:
- Length of Credit History - longer history viewed more favorably
- Amount of Current Credit Utilized - lower utilization viewed more favorably
- Past Payment History - no late payments viewed more favorably
- Types of Credit - mixture of different credit types viewed favorably
- Number of Inquiries - lower number of inquiries viewed favorably
Why does it matter
A Credit Score significantly impacts life, affecting loan availability, interest rates, insurance premiums, job prospects, and rental opportunities. For bankers, it's crucial, serving as a proxy for character, especially when little is known about a customer. Assessing past performance on obligations, credit scores offer a quick and reliable glimpse into an applicant's character, aiding lending decisions.
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A bit about me
Greetings! I'm Clay Sharkey, and there is nothing I like more than assisting others in achieving their goals. I firmly believe that by enhancing a banker's understanding of their customer's' business, they can provide superior service. This superior service, in turn, leads to stronger relationships for the bank, improved performance for the businesses, and better experiences for our communities. Win-win-win.
