Credit School

You are not the only person right now suffering with bad credit. In fact, you are in a group of hundreds of thousands of people who have been battling bad credit for years. There are millions of hard working people that are suffering from bad credit, and it’s not their fault. Many lost their jobs, and had barely enough money to pay their bills in the first place. Others have had to deal with catastrophic life circumstances.

 Where do Credit Scores Come from?

First, your credit score is a number that lenders look at to see how much of a risk you are. If you number is between 300-800 lenders see that you have a lot of debt, but you are working on it. The higher the score the better off you are. Scores that are below 600 are usually tossed off and given higher APR financing, or repair credit offers with outrageous fees. Credit scores in the higher levels from there are given the best rates and of course the best options for credit.


Again, we have said it before and we will say it again: Credit Scores Are A Report Card!

Much like your SAT’s or GRE’s they let the lenders know your life patterns.


Some lenders emphasize your credit score more than others, it just depends on the particular institution.


The credit score is the site that allows you to show off all of your past debts, and it’s a perfect place for lenders to get a feel for you.


They will see:

  • Default
  • Old Loans
  • Charge Offs
  • And more

What is FICO?

Fico stands for Fair Issac Corporation company. A system that developed a credit score model, that is accessed by the financial industry daily. This particular group is considered the leader in the filed. The mathematics that they use to determine your score is actually a complete mystery-they will not share the algorithim. But the concept is simply, you credit score is calculated like an insurance premium. The higher the risk, then the lower the score.