Before making a big purchase, such as buying a house, one advice you’ll often hear is to check your credit score. This is important, because you want to make sure you have a good credit score.
The worst thing you can do is applying without knowing where you stand. For one, your loan application might get rejected due to a low credit score.
And each time you get rejected, your credit score takes a beating.
Most people, however, do not know that there exists free credit score sites. If this is you, then you you’ve come to the right place. Luckily, there are sites where you can check your credit score for free.
Sites like Credit Karma and Credit Sesame offers free credit score and monitoring services. So there’s really no excuses not to know your credit score.
The importance of checking your credit score before applying
Once you decide on the purchase, you’ll need to make sure you have a good credit score before you even consider applying for a loan. It’s crucial to know your credit score to get a better understanding of whether you’ll be approved or denied.
If you take a wild guess without knowing your credit score, you face the risk of being rejected, which in turns can hurt your credit score.
How to check if you have a good credit score:
Checking is easy. Simply create a free account at Credit Sesame. It only takes 90 seconds of your time. Plus, no credit cards is required to join. Ever.
Where you can get an annual free credit report
By law, you are entitled to get a free credit report for free once a year at AnnualCreditReport.com. The report will be from each of the three credit bureaus (Equifax, Experian, and Transunion). To verify that it is you, you will have to provide your bame, social security number, your address, etc. Once you get the reports, review them for any errors. If there are mistakes or inaccuracies, file an Equifax dispute or a Transunion dispute.
The problem is however, the reports from Equifax, Transunion and Experian will not contain a credit score.
What many people don’t know is that there are companies out there that can give you free credit score. Sites like credit karma will give you a credit score and will monitor your score for you.
Here are some of the best credit score site:
Credit Sesame – best credit score site
Credit Sesame is one of the best credit score site out there. If you didn’t know, Credit Sesame is a credit monitoring service that gives you a free credit score every month.
Also, Credit Sesame does not require a credit card to join.
Not only does Credit Sesame gives you a free credit score every month, Credit Sesame also gives you personalized savings advice.
Credit Karma – another free credit score site
Sites like Credit Karma also offers free credit score. So there is no reason why you shouldn’t know what your credit score is.
Like Credit Sesame, Credit Karma gives you a free credit score and reports from two major credit bureaus: Transunion and Equifax. Your credit score is updated weekly, and gives you recommendations and suggestions on how you can improve it.
Also, Credit Karma gives recommendation on financial products such as credit cards, personal loans, business loans, insurance, etc based on your credit profile.
Joining Credit Karma won’t hurt your credit score and does not require a credit card either. It’s always free.
In conclusion, always remember to check your credit score before you apply for a loan. If you don’t, you face the risk of rejection. And every time you get rejected for a loan application, your credit score takes a beating. Use a a free credit monitoring services to check your credit score that will not affect your credit score. Or, find out more about how to improve your credit score to 750.
Here’s how to maintain a good credit score:
- Always check your credit score. Nowadays, it’s easy to get a free copy of your credit report. So there’s no reason you shouldn’t know what your credit score is.
- Keep making your payments on time. payment history accounts for 35% of your credit score. So it’s important to always pay your bills on time. If you’re a busy person, chances are you will forget. So make your payments automatic.
- Keep your credit limit under 30%. A good rule of thumb is to keep your balance under 30%. Credit utilization also accounts for 30% of your credit score. So don’t go over that limit.
Speak with the Right Financial Advisor
You can talk to a financial advisor who can review your finances and help you reach your goals. Find one who meets your needs with SmartAsset’s free financial advisor matching service. You answer a few questions and they match you with up to three financial advisors in your area. So, if you want help developing a plan to reach your financial goals, get started now.