Brandon Taylor
Credit Report/Score Assignment
Due: 3/30/22
1. What are the three credit reporting agencies?
Experian, Equifax, Transunion
2. What are four categories of information that are included in a credit
report?
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

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Accounts + credit history
Account owner identity
Soft/hard inquiries
Public records
3. What is the difference between a credit score and a credit report?
The credit report shows debts you’ve managed of the course of your credit
history and the credit score is a number calculated using the information from
your credit report.
4. What are the five categories used to calculate your Credit score and the
weightings (percentages) for each category?
For FICO scores:




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Payment history (35%)
Amount owed (30%)
Length of credit history (15%)
Credit mix (10%)
New Credit (10%)
5. What is helping your credit score? What is hurting your credit score?
Helping:



No missed payments
Low utilization
Active use of revolving credit
Hurting:


Short credit history
Relatively high balance on installment loans
6. What is the difference between a revolving account and an installment
account?
Brandon Taylor
Credit Report/Score Assignment
Due: 3/30/22
Revolving accounts give the borrower access to a certain amount that they
must repay be fore they can’t re-borrow the designated amount. Ex.) Credit
card.
Installment accounts give the borrower the full amount and pay back the full
amount over a set period. Once the full amount is paid back, the borrower
doesn’t receive access to that initial amount. Ex.) Car/Mortgage loan
7. What is a collections account? What is a negative account?
Collections account- account sent to a collection agency or a debt collector
for a delinquent account
Ex.) Credit card balance left unpaid for too long
Negative account- an account with a balance less than zero.
Ex.) Overdraft a checking account
8. What do you think is the most important thing to do if you fall behind on
your payments?
Communicate with the creditor to prevent the account from going into
collections & prioritize paying off the account with effective budgeting.
Brandon Taylor
Credit Report/Score Assignment
Due: 3/30/22
Brandon Taylor
Credit Report/Score Assignment
Due: 3/30/22