1. Lyle Hansen, M.S., AFC University of Idaho Extension Jerome County Extension Office (208) 324-7578: lhansen@uidaho.edu lhansen@uidaho.edu Credit Scores and Identity Theft

2. What We Will Cover… What a Credit Score Can Mean to You How a FICO Credit Score is Determined What Can Hurt Your Credit Score What You Can Do to Build and Keep a Respectable Credit Score How to Protect Yourself Against Identity Theft and Keep a Good Credit Score

3. Sometime we are our own worst enemy…

6. A Brief History of Credit and Credit Scores First used in 1995 as a guide for a home loan. Have been expanded to include your approval or denial on almost every type of financial loan! Credit Scores are being used for almost everything now! They are the new normal!

7. NPR: “A credit score can be just as important as an SAT score…”

11. Who Uses a Credit Score? Auto Insurance Home Insurance Life Insurance Medical Insurance Employment Landlords Medical Utility Companies

12. The Credit Reporting System

17. What’s In My Fico Credit Score?

18. What Hurts Your Fico Credit Score? Missing or neglecting a payment. –A 30-day late payment can drop your score 150+ points! A bankruptcy will stay on your report for 7-10 years, and can drop your score by 250 points. Any loan from a finance company (payday lender, subprime financer, etc.) drops your score by 20+ points, even when paid back on time!

19. What Hurts Your Fico Credit Score? Errors on your Credit Report! –70% of all credit reports contain at least 1 error! –These errors drop your credit score and cost you money!

20. What You Can do to Help Your FICO Credit Score? Make All Payments on Time! Make more than the minimum payment or pay off credit cards! Keep Loan Balances Low! Keep Old Accounts Open Do not have too many credit cards! Don’t open unnecessary revolving credit accounts!

21. Minimize Your Risk Protect your Social Security Number: –Do not use on checks, insurance or other cards, driver’s license. –Memorize your number and do not carry your card with you. –Ask why when your SS# is requested: How will it be used? How will it be protected? Is it necessary?

22. Minimize Your Risk Carry only the credit cards you need. Keep a copy of all your important account and phone numbers. –Write them down. –Take a picture. –Photocopy. –Keep copy in a safe secure place.

23. Minimize Your Risk What is the web address to order a free credit report? Freecreditreport.com is not free!

24. Minimize Your Risk Obtain free credit report yearly. –www.annualcreditreport.comwww.annualcreditreport.com –One free credit report is available from each of the credit reporting agencies: Equifax, Experian, and TransUnion. –1-877-322-8228 –Mail “Annual Credit Report Request” form to: Annual Credit Report Request Service P. O. Box 105283 Atlanta, GA 30348-5283

25. Minimize Your Risk Obtain free credit report yearly. –www.annualcreditreport.comwww.annualcreditreport.com What is the difference between: www.annualcreditreport.com www.annualcreditreport.com www.annnualcreditreport.com –The extra “n” directs me to freecreditreport.com Misspellling can cost you money!

26. How Many Credit Offers do You Receive in a week? Month? Year? Good news! There is a free way of doing this!

27. Minimize Your Risk Remove your name from pre-approved credit card mailing lists. You can do this by going to www.optoutprescreen.com or calling 1-888-5-OPTOUT.www.optoutprescreen.com

28. Minimize Your Risk Stop telemarketers from calling your home and cell phone numbers. You can do this by going to WWW.DONOTCALL.GOV or calling 1-888-382-1222.WWW.DONOTCALL.GOV Your phone numbers will be removed for LIFE (No Longer Only 5 Years)!

29. Minimize Your Risk FREEZE Your Credit! –Costs $6 Per Credit Bureau in Idaho –Costs $6 to “Thaw” /Unfreeze Credit One of the most successful tools to prevent financial Identity Theft!

30. Minimize Your Risk Do not provide personal information over the phone, through the mail, or over the Internet unless: –You placed the call or the letter or email And –You know the company is reputable and the request is legitimate.

31. What You Can do! Review your free Credit Report for any errors! *Annualcreditreport.com (Not Freecreditreport.com!) Stop credit solicitations! Make sure you are on the Do-not-call list! Consider “Freezing Your Credit”! Use your existing credit cards twice a year and pay them off!

32. Questions Lyle Hansen, M.S., AFC University of Idaho Extension Jerome County Extension Office (208) 324-7578: lhansen@uidaho.edu lhansen@uidaho.edu