Your credit score is like your criminal record. Both follow you around for a very long time, and both are supposed reflections of the person you are. Only you and perhaps your lawyer know your criminal record. But your credit score can be pulled when you apply for a credit card, or go to get a new car, or even try to move in to a new place.

For those not in the know, your credit score is based on a number system between 300 and 850. A secret formula (OK a mathematical algorithm) determines what your number should be. Experts and creditors agree that your credit score is said to be a very accurate prediction of how likely you are to pay off your bills. Read more »

A credit report is basically a consolidated account of your previous borrowings and repayments. Every time you borrow, pay or delay, it will be reflected in your credit report. Money lenders use it to assess how much of a risk it would be to lend to you.

Through your credit report you will be issued a credit score. They will compute your borrowings and repayments against the time taken to repay and come up with a score of between 300 and 850. Read more »