Credit reports and scores
A credit report records information about credit accounts and payment activity according to the reporting system in a jurisdiction. Credit scores use information from reports to estimate credit risk using a particular scoring model.
What can influence credit?
Depending on the scoring system, factors may include payment history, amounts owed or utilization, account age, account mix and recent credit activity. Different models can produce different scores.
Why lenders care
Lenders may use credit information alongside income, debt, collateral and other factors when evaluating applications and pricing risk.
Healthy credit habits
Pay obligations on time, review credit information for inaccuracies, keep borrowing manageable and understand the terms before opening new credit. Avoid actions taken solely to manipulate a score without considering their financial cost.
Visit the Loans & Credit Center for related borrowing tools.
Credit reporting and scoring systems vary by country and provider. This guide is general education.