{"id":91584,"date":"2016-09-21T15:23:47","date_gmt":"2016-09-21T15:23:47","guid":{"rendered":"https:\/\/one.sightlinemg.com\/militarytimes\/native\/uncategorized\/be-in-the-know-about-your-credit-score\/"},"modified":"2026-08-08T08:42:20","modified_gmt":"2026-08-08T08:42:20","slug":"be-in-the-know-about-your-credit-score","status":"publish","type":"native","link":"https:\/\/one.sightlinemg.com\/militarytimes\/native\/lendingpoint\/be-in-the-know-about-your-credit-score\/","title":{"rendered":"Be in-the-know about your credit score"},"content":{"rendered":"\n

You may have wondered at some point in your financial journey how your credit score is calculated. This number acts as an adult report card and is used by potential lenders to determine your risk. It affects the loan products and interest rates you qualify for. Some 90% of top lenders use FICO when making lending decisions. Understanding the formula used to come up with your FICO score is even more important than knowing the actual number. The data used to calculate the score comes only from your credit report \u2014both positive and negative information \u2014 and falls within five categories.\"FICONecessary parts of life such as applying for a car loan, credit card,\u00a0lease or mortgage can impact\u00a0your credit report. On the surface, any of\u00a0these actions\u00a0are not negative from a credit perspective. However,\u00a0depending upon the number and recency of the\u00a0inquiries you initiate against your credit, as well as\u00a0other variables, inquiries might have the net result\u00a0of driving your credit score downward.\u00a0That\u2019s why we suggest no more than three\u00a0inquiries in a 6-month period. The kind of credit you carry also plays a part in your score, with installment debt having a less negative impact than revolving debt. Other more obvious\u00a0items such as late\u00a0payments and collection accounts can significantly affect your score for the worse. \u00a0 You\u2019re\u00a0entitled to request a free copy of your credit report from AnnualCreditReport.com<\/a> once every year, from each of the three major credit bureaus \u2014 Experian, TransUnion and Equifax. These credit bureaus receive credit-related information from companies you have debt and credit with. They also pull public records like a tax lien and bankruptcy. Viewing and verifying this detailed information from the credit bureaus allows you to\u00a0know where you stand from a credit perspective, and also to ensure\u00a0the information contained in each of your credit reports is accurate. Inaccurate or unfamiliar information can be an indication of fraudulent activity or identity theft. To maintain a healthy credit profile: <\/p>\n\n\n\n