What is a Credit Score?
A credit score is a numerical interpretation of your credit worthiness. It is created by evaluating the borrowing and repayment history from your credit report. Companies will often use your credit score when evaluating an application for credit. Credit scores can also be used in other industries such as insurance, mobile phones, the government, and various employers.
In many cases, a credit score is preferred over a credit report since a credit report is too much data and it requires experts in the field of credit to fully understand. A credit score, on the other hand, is a single number often between 300 and 850, with higher numbers indicating a lower credit risk.
A good credit score can take many years to build. The primary components of a good credit score are on-time payments, history of credit usage, range of credit products used, and amount of debt owed. Having a good credit score can save consumers tens of thousands of dollars in interest over the years.
- Learn How Credit Scores and Reports Work
- Helpful Credit Score Advice and Tools
- No Hidden Fees & Always Free!
Credit Karma™ Believes All Consumers Should Have Access to Credit Scores for Free
A credit score and report are some of the most important components of a consumer's financial profile. At Credit Karma™, we believe free access to your credit score is a fundamental consumer right, so we enable consumers to access their credit score at any time for absolutely no cost.
In addition to free credit scores, Credit Karma™ has a wealth of tools and content to help consumers better understand how credit scores and credit reports work.
