What is a FICO/Credit Score?

The actual definition of credit scoring is a formula for credit risk assessment that is believed to be highly predictive of future payment risk.

Each credit bureau has different items reported to them and these items provide a credit score that will vary between each bureau. Based on these scores, the lender will determine loan eligibility and pricing. Major criteria for determining your score are:

• Number of accounts
• Length of time since account was opened
• Number of late payments
• Amount owed vs. high balances