You may be thinking: “I am legally able to get a free credit score once a year, right?” Well right, however, this report that you can get from the three credit rating agencies TransUnion, Experian, and Equifax, doesn’t’ actually show you the FICO score. It’s simply a report of every account that is listed on your current credit report. What is doesn’t’ show you is the official FICO score that your bank or lender will have access to in order to determine your lending worthiness. In fact, about 90% of all lenders use this one number to make a credit decision.
This month Discover launched the groundbreaking CreditScoreCard.com that allows anyone to get their official FICO score for free. Furthermore, you don’t have to be a discover customer, and there is no “hit” to your credit score for checking. If you used CreditKarma or Credit Seasame for a while you may not be aware that these scores are actually your VantageScores and not your official FICO scores. If your skeptical, compare the two and see if there’s a difference.
Keeping a close eye on your credit is not only useful for those that are trying to repair it through bankruptcy or debt reduction, but also for those that are planning on making a large purchase in the next 1-2 years such as a new home or automobile. If you are currently not able to make enough money to cover your liabilities, an accredited bankruptcy attorney can help you decide if filing bankruptcy can help your situation and improve your credit score.