Understanding Your Credit Score

credit score debt Jul 29, 2020

It’s no secret that many Americans have very little knowledge of their credit score or general knowledge about keeping credit scores healthy. For example, VantageScore reported in their 2019 annual survey about consumer understanding of credit scores the following:

  • 78% of respondents in 2012, but only 62% in 2019, correctly indicated that people have more than one credit score. [That is down 16% from 2012]
  • 85% in 2012, but only 66% in 2019, correctly answered that keeping a low credit card balance helps raise a low credit score or maintain a high one. [That’s down 19% from 2012.]

The study found that the people who responded thought they had excellent or good knowledge. In fact, more people in 2019 said that they were confident in their knowledge than they were in 2018. But, as you can see, people actually know less about their credit scores. They just think they have a very firm grasp on the subject.

Understanding these numbers and the impact they will make in your...

Continue Reading...