Obtain a Free Credit Report to Check Your Credit Rating History

Your credit history. Three simple words that can determine the outcome of our financial success. Your credit history influences any and all decisions that a company or institution will make when considering you as a credit risk. Because of its importance, knowing and understanding what your credit report says about you is vital.

Your Free Credit Report

Your credit report is a document that will show your personal and financial information, good and bad. Your score is based on this information and is called your FICO score. The higher the FICO score the better. This information is reported by all three major credit bureaus, Equifax, Experian (formerly TRW), and TransUnion. Any time you apply for credit of any kind, the lender will contact one of these credit bureaus to obtain a copy of your credit report.

This all sounds pretty technical but what it boils down to is this, your credit rating will influence all future financial decisions. That is why it is so vitally important that you keep track of your score and read your report regularly. Mistakes can and have been made. Keeping track of your report will help you to find these mistakes and resolve them in a timely manner.

What Your Credit Rating Means For You

Pretty much everything. As I mentioned above, your credit rating will influence the decisions that companies make when you apply for credit. If your credit is less than perfect, you may be turned down or at least given a higher interest rate than someone who has a higher score. Problems can stay on your report for as long as two years even after they have been resolved.

What Influences Your Credit Rating

Your payment history is one of the main influences. Have you paid your bills on time? If you have routinely been late with payments, your score will be negatively affected.

How much outstanding debt you have is also a factor. This includes the outstanding balance on any loans you may have as well as the credit limits on any credit cards you may have. If you have multiple credit cards and these cards all have high credit limits, even if you don't carry a balance on these cards, the possibility still exists that you will someday charge all these cards to their limits. This possibility alone will negatively affect your credit rating.

The length of your credit history is also a factor. Surprisingly, no credit history can work against you. With nothing to go on, the company has no idea as to just how you will handle your credit.

Obtaining Your Free Credit Report

Since January of 2004, all credit bureaus are required to give you one copy of your credit report for free each year. Although the credit report is free, they can charge you for your FICO score. Contact any of the major credit bureaus either online or by phone and see what their policy is.

Credit Card Features and Fees They Attract

Do you know anyone who doesn't have a mailbox overflowing with credit card offers? Open any of them up and you'll find in large print just what makes this card perfect for you. At first glance, this all looks good on paper, but it's the small print that you don't pay attention to that will come back and bite you in the end. All credit cards offer a variety of features. Knowing and understanding these features will help you to decide which card is right for you.

Student Credit Cards Reviewed

We all know that credit cards are convenient, but they are fast becoming a necessity. Even high school and university students are getting obtaining credit cards. A student credit card works in the same way as any other card but is specifically geared toward high school and university students and often comes with some restrictions. Here we review the student credit cards available and provide advice on choosing the most appropriate card.

Pre paid credit cards

During the 1990's credit card companies had to look at a different means of securing their debts because of great losses. At that time they came out with the secured credit card and following close behind came the prepaid debit card. Prepaid credit cards are issued by most credit card companies, such as Visa, American Express and Mastercard. In this instance, funds are added to a prepaid debit card at a retail location or through an online bank. The prepaid card works very much like a prepaid phone card. Basically, a prepaid credit card is cash that has been applied to a plastic card so that the funds can be accessed electronically. These cards are set at a limit that is identical to the amount deposited. Each time you use the card, the amount on the prepaid debit card decreases until it reaches zero funds.