1. Managing In Tough Times “Bits & Tips” Credit History and Credit Score

2. Loans Loan lenders want to assess your credit worthiness or your ability to repay the loan. 2 common measures used by financial institutions in making loan decisions are: – Credit History – Credit Score

3. Credit History Also called a credit report. Credit report contains information about your payment history and the amount of credit you currently have available. Public records such as bankruptcies, foreclosures, tax liens, and court ordered child support may also appear on your credit report.

4. Credit Report Information on your credit report will remain there for 7 years. 3 main credit reporting agencies: – TransUnion – Equifax – Experian You are entitled to 1 FREE credit report per year from each of the 3 main credit reporting agencies.

5. Credit Score Your credit score is based on your credit history. Credit scores can range from 300 to 850. The lower your credit score, the higher interest rate you will pay.

6. Rebuilding Your Credit Score Pay your bills on time. Reduce your debt load. Pay at least the minimum payments on all your debts. Double check your credit report to ensure that your payments are being reported accurately.

7. Loan Denial If you are denied for a loan, it is a good idea to schedule a meeting with your lender and identify the specific reason(s). You may be able to pursue different financing options from other financial institutions or government lenders.