Whether you are a prospective home buyer or renter looking for a new apartment, house or condo on HotPads.com, you'll need to know how strong your credit is before you fill out any applications. Even if you're not taking out a mortgage, your credit score can stop you from getting the rental you want, the insurance you need or the bank account that you prefer to have.
Your credit score and credit reports
Simply put, your credit score is a numerical expression of the strength of your credit and an easy way for companies to make decisions about doing business with you. Your score is based on information in your credit report, which is kept by national credit reporting agencies. Information in your credit report will include how much debt you have, how long you've had credit established and your record of paying your bills on time.
Your credit card companies, student loan providers, mortgage lenders and anyone else that you borrow from will report your payment history to credit bureaus and this will impact your credit score.
The different credit reporting agencies each have a different method for arriving at a numerical score, with the most well-known being the FICO score created by the Fair Isaac Corporation. Equifax, Experian and TransUnion will all have a different score for you but none will have a good score if you've been delinquent in your past obligations.
Credit scores typically range from about 300 (awful) to 850 (the world is your oyster.)
Checking your credit score
Before you apply for a loan or look to rent a place, you check your credit score and credit report. You can check your credit score online at Credit.com.
More Resources from HotPads.com
Home Buyers Guide
Moving & Storage