10 Biggest Misconceptions Consumers Have About Their Credit Scores

NEW YORK (MainStreet) — The tabulation of credit scores is complicated, because each of the three credit bureaus uses its own formula, but consumers commonly misunderstand many facts about paying bills and credit cards.

Below MainStreet has compiled the ten largest misconceptions consumers have about their credit scores. A high credit score allows consumers to pay a lower interest rate for credit cards, mortgages and auto loans and also gives them lower rates for auto and home insurance. Here’s a quick rundown of what the numbers mean – a score of anything below 620 ranks as poor, 620-699 is fair, 700-749 is good and anything over 750 is excellent.

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