Your Credit History

1
Your Credit History

• consumer.gov

2
You and your credit

• Have you ever had
• Credit card?
• Loan?
• Utilities in your name?
• Cell phone with a monthly bill?
• This helps make up your credit history.

3
What is a credit history?

• How you use money
• Do you pay your bills when they are due?
• How many credit cards do you have?
• How many loans do you have?
• Your credit history helps make up your credit
  report.

4
What is a credit report?

• Summary of your credit history
• Name, address, Social Security number
• Your credit cards and loans
• How much money you owe
• If you pay your bills on time or late

5
Who creates your credit report?

• Credit reporting companies put your information
  in a credit report
• TransUnion
• Equifax
• Experian

6
Why care about my credit?

• You might find mistakes or problems.
• Your information from years ago
• Somebody elses information
• By mistake
• On purpose
• You can try to fix mistakes or problems.

7
Why care about your credit?

• Businesses check your credit when you
• apply for a job
• get car or home insurance
• apply for a credit card or loan
• get a cell phone

8
How do you get your credit report?

• Only one place to get your free report
• Annual Credit Report
• Call 1-877-322-8228
• Go to www.AnnualCreditReport.com
• You get one free report every year from each
  credit reporting company

9
You got your report. Now what?

• Read it carefully.
• Is it your name and address?
• Do you recognize the accounts?
• Is the bill-paying information right?
• Does it list credit applications? Did you apply
  for credit at those places?

10
Good credit and bad credit

• Good
• You pay bills when theyre due
• You dont owe too much money on your credit cards
• Bad
• You pay bills late
• You owe a lot of money on your credit cards

11
Improving your credit

• You can improve your credit
• Pay your bills by the date they are due.
• Lower the amount you owe especially on credit
  cards.
• Do not get any new credit cards.
• Do not close older credit cards.
• It takes time!

12
What is a credit score?

• A number related to your credit history.
• If your credit is good, your score will be high.
• If your credit is bad, your score will be low.
• Scores go from 300 (low) 850 (high)
• Used when you buy a home or car
• To decide whether to give you credit
• To decide how much youll pay for your credit

13
Should you know your credit score?

• Your credit history is most important.
• But your credit score might be used when you buy
  a car or home.
• Seeing your credit score costs money.
• Is it worth paying for?

14
One more time

• Only one place to get your free report
• Annual Credit Report
• Call 1-877-322-8228
• Go to www.AnnualCreditReport.com
• You get one free report every year from each
  credit reporting company

15
Your Credit History

• consumer.gov