
What is a credit score? Often credit report and credit score are used interchangeably, but it is important to know the difference between the two. A credit report is a detailed history of credit information. It will include balances, delinquent payments, bankruptcies, personal identifying information, and inquiries. A credit score is a three-digit number based on this information and is calculated using a mathematical formula. Credit scores range between 300 to 850. The higher the number the better the score.
Going without checking or only checking your score every few years is not financially healthy. Your credit score is an important part of your total financial health. Whether your score is good or bad, it is better to know where you stand. Steps can be taken. If your score is bad, things can be done to improve it. If it is good, measures can be taken to maintain it.
Monitoring your score puts you in control and makes you accountable for keeping your score at its best. It is up to you to be aware of any disputes that need to be resolved with credit bureaus. You don’t want to pay for what someone else has done in your name.

Monitoring also helps you see how certain financial decisions affect your credit score. For example, paying off a loan may cause an increase whereas a new credit card may cause a decrease. Being aware of these changes can help you prepare for what to do or avoid before applying for a major loan.
You may be thinking all of this is fine and dandy but how often do I need to monitor my credit score. Credit scores change daily but unless you see a considerable drop that stays there is no need to worry. Monitoring your credit score once a month is enough to ensure a healthy score
Most people don’t think about or check their credit score until they are applying for a loan or credit card. At this point there is nothing they can do to improve. It takes months sometimes years to build up a good credit history. Some people avoid checking all together because they fear what they will find. Then there are those who believe checking your score affects your credit. This is a misconception. As long as you use a credit tracking service your credit score will not be affected as many of these services pull your credit using a soft pull.

Did you know right within our online and mobile banking you can access your Credit Score for FREE?
We provide you with safe and easy access to your credit score anytime and anywhere. You will also have access to credit education and tips where you can manage your credit score and report with confidence.
Get your free credit score today!