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According to state law an individual can check their credit score at no charge once a year. This gives the individual the ability to freely check their credit to see if there are dues that need to be taken care of or if there is money that has not been paid somewhere each year. Many people don’t realize, but checking your credit score is very important. Sometimes people can get a hold of your social security numbers or bank statements to get information that you might not want to have disclosed at your will. They then will use your information to take out credit cards and other loans on your social security number. However, the ability to catch these types of crooks is far higher if the individual checks their credit score on a regular basis. Even though yearly isn’t as good as checking your credit score one every week, it is still better to catch it, then to not catch it at all.
Checking your Credit Score
If you get into the habit of checking your credit score too often then it can actually hurt you. It is always good to know what your credit score is that way you can always have an idea about how much money you will be lent and what your interests rates will be like. However you are allowed one free report a year and after that they will charge you to know your credit score. Also your score can be affected if it is checked a lot, in many cases lowering the score each time it is checked. You do however have the right to get a free credit score report if you have been denied a job due to your credit history. In cases like this where one might get denied a job because of their credit score are rare, but might occur if you are considered a risk in a job where money is being handled.
You can obtain a free credit report from the three major credit bureaus at www.annualcreditreport.com. This website will give you all of the three major credit bureaus and allow you to compare all of the three to see if you have any outstanding bills that need to be paid, and that are affecting your credit score.
What is a Good Credit Score?
Knowing your credit score is very important. Establishing yourself as a person with excellent credit can help you in all your financial en devours. Always paying your bills on time and not having any debts hanging over your head is very important to building a good score. Credit scores can range from 300-850, 300 being the very worst credit score possible and 850 being the very best credit score possible. Just because your score is low does not meant that it can not improve. Improving your credit score can take years and years of work paying off bills, but if you can improve it you will be better off then having a low score. Since a majority of the people fall within the 600-799 credit score rating this would be an average score to have, of course the higher the better.
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