Last time I reached out to you, I gave you some really easy tips to get your credit report for free. 

So the next logical question – what do you do when you get your rating?

Well, the answer is – that depends on your rating and what your goals are!

But first – where do you stand?

Most credit scores range from 300-850 – and are ranked from poor to excellent:

Under 580 – poor

580-669 – fair

670-739 – good

740-799 – very good

Above 800 – excellent

So what do these ratings actually mean? What impact can they have on you?

If your score is about a 670 or above, lenders will see you as lower risk and will generally offer much better terms and products – think of it as a reward for your responsible financial choices. Above a 740, and you’re probably not going to have any issues at all. 

Between 580-669, you may still get offered credit, but with less favorable terms (such as higher interest rates) – because you’re seen as a moderate risk. 

Under 580? You might be rejected outright and find that lenders who accept you offer much less generous terms than someone with a higher score. You may have difficulty with finding employment and housing – even utilities.

Once you know where you stand, you’ll know if you need to work on building up your credit or not. 

If your credit score needs some work, don’t despair. With a little time and patience, you can build it up. 

Your assignment for today’s ‘New Year, New You’ 30 Day Challenge is to assess where you stand and create an action plan to rebuild your score if you need to. 

This resource from Experian will help set you on the right path. 

If you’ve got any questions about how your credit score can affect you as you head towards retirement, let’s talk. Book a quick 15 minute chat with my office by calling 513-563-PLAN (7526) or using my online calendar here.