What's Your Credit Score?
No, really. Do you know what your credit score is? According to the Association of Credit and Collections Professionals, most Americans don't. That's a scary reality, which has implications far beyond not knowing a basic fact about yourself. Knowing your credit score is a powerful antidote to predatory lending, as well as a gauge of where you should improve your finances, and where you're succeeding.
So What? Why Should I Know My Credit Score?
Sure, credit scores can change drastically over a person's lifetime, so it can be frustrating--especially during times of personal growth or stagnation--knowing that a few months can make the differece in the type of lending you're eligible for, and the types you'll be blocked from accessing. As the saying goes, "knowledge is power," and knowing your credit score can help you in lots of different ways, whether that means negotiating better interest rates, or planning out your monthly expenses. For example, if you know you want to purchase a particular car, but need a certain interest rate in order to afford it, knowing what your credit score is can either help lock that car down quickly, or kickstart a credit re-build that could take months or a year.
Discover Your Credit Score
If you don't know your credit score, and are planning on making an important purchase within the next few months, now is the time to find out what it is! As we've mentioned many times before, you're entitled to a free credit report every year, thanks to the Fair Credit Reporting Act. If you haven't asked for your report in the last 12 months, you should do so now.