Monday, September 19, 2016

Are You A Credit Risk? How You Can Check Your Credit Score Now

It's been a few years since I checked my credit score. Have you checked yours recently? If you want to borrow money, it's a good idea to go take a look at your credit score first. You don't want to keep applying for loans or accounts and get a lot of rejections as that could result in further deterioration of your credit score.

You can get a free online credit report check instantly from or by mail from

Why is your credit score so important? It can influence your application for utility or new loans by being declined, being approved but as high risk and thus higher interest rate, or as a good risk and offered cheaper loan rates. It roughly tells creditors how 'financially responsible' you are. 

Nicole Pedersen-McKinnon had a reader write in to ask about how she could fix her "below average" credit score of 230 (out of 1200). She advised that if you have a poor credit score, contact those that you owe money to, pay them back in full and request that they update your file as "fully paid". The details will unfortunately be on your file for 5 years from the date that you incurred the debt. So the faster you act, the better.

Out of curiosity, I checked mine and what a relief it was that it was nothing funky (I'll settle for ordinary and that's what I got)

And what does it mean? 

So my credit score is 927 out of 1200. On the upper tier so that is a relief, but nothing special. A range of factors affect your rating. I wonder what it takes to achieve a credit score of 1200? Having absolutely no mortgage or personal loans? No credit cards? Doing nothing financially risky?