What is a credit score and who uses them?
A credit score is a number that summarizes your creditworthiness (how likely you are to repay a financial obligation) based on the information in your credit report compared to millions of others. Credit scores have stood the test of time for being powerful predictors of a consumer's future credit performance. Lenders routinely use credit scores to make quick yes/no decisions (such as instant credit approvals) or to determine the terms of a loan. Employers, insurers, landlords and other businesses routinely use credit scores.