What's in a credit score, you might ask? Good question, I must say, considering most people just know that the higher the figure, the better for them.
But many, unfortunately, do not realize the full consequence of having a good or bad score recorded against their report until they're in need of an auto loan or home loan.
Take for instance you're intending to rent an apartment from a landlord; while you might appear to be a responsible person with good looks, steady job and a mien of a credible person, you'll be surprised to learn that the most important factor that counts is the 3-digit number on your report.
This is what landlords do when they're about deciding whom to rent their house to.
They contact any of the credit bureaus for information on your report, which of course will include your score.
They simply want to learn if you're a credible person or not.
Besides this, your credit-worthiness which is reflected by your score can also make or break a business deal.
Imagine you're about entering into contract with an individual or business organization.
If it is the first time they'll be doing business with you, they might want to find out just how reliable of a business person you are.
It'll be no joke or mere snooping around if they ask the bureaus for a report of your personal finances - they do this for good reason so as to ensure you do not divert business money to solving personal financial issues.
It is for these reasons and many more others that it becomes more imperative everyday that you keep a regular tab on activity being reported on your file.
You should also know your score to your 3 credit files from Experian, TransUnion and Equifax.
That way, you can take quick action to fix any damage currently on your file or developing as a result of your own actions or error on the part of the bureau.
This you can do with self-help or using a repair-agency.