📑 Credit Scores & Reports

Explainer

Credit scores (300–850) are used by lenders to evaluate risk. Based on payment history, credit utilization, length of history, mix, and inquiries.

Sources:

• Experian
• Equifax
• TransUnion

Comparison: FICO vs. VantageScore

• FICO: Most widely used by lenders
• VantageScore: Easier approval for thin credit files

Guide: How to Improve Your Score

Pay bills on time

Keep utilization under 30%

Avoid unnecessary hard inquiries

Monitor reports for errors

Trends in 2025

• Growth of alternative credit scoring models (rent, utility payments)
• More apps offering free score monitoring
• Increased use of AI for fraud detection