New Construction Homes for Sale in Burnt Hills NY. Stewart Construction-Custom Home Builder. Your Credit Scores.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

New Rights to Credit Scores

Credit scores have been available for some time. Some states - California led the way -- passed laws to require score disclosures. Even without the legal requirement, scores soon became available as industry practice. Recent amendments to the FCRA created a national standard allowing access to credit scores for a "reasonable fee". However, the "reasonable fee" access only applies to "educational" credit scores compiled by the three national credit bureaus - Experian, TransUnion, and Equifax.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

What is a credit score?

FACTA defines a "credit score" as:

A numerical value or a categorization derived from a statistical tool or modeling system used by a person who makes or arranges a loan to predict the likelihood of certain credit behaviors, including default (and the numerical value or the categorization derived from such analysis may also be referred to as a 'risk predictor' or risk score'Ö (FCRA §609(f)(2))

In short, a credit score is a grading system that adds or subtracts points based on select data in your credit report. Late payments, maxed out credit cards, and bankruptcies are negative factors that take points away. A solid payment history and prudent use of available credit add points. Your final grade -- your credit score -- is said to measure how likely it is that you will repay a loan.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

Do I have a right to free credit scores?

No. FACTA says you can get your score at a ìreasonableî fee to be determined by the FTC. As of this writing, the FTC has not issued a final regulation on reasonable fees for credit scores. (The FTC's proposed regulation on fees and public comments received can be accessed at http://www.ftc.gov/opa/2004/11/factafrn.shtm.)

FACTA does, however, give everyone the right to a free credit report from each of the three national credit bureaus. Free reports can be obtained once every 12 months. Since information included in your credit report is the basis for all scoring models, errors in the report can translate to a lowered credit score. For more on free credit reports, see www.ftc.gov/bcp/conline/edcams/freereports/index.html.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

Does FACTA give me the right to get my FICO score?

No. FACTA only covers two kinds of scores. The "educational" score shows you how scoring works and how you rate as a credit risk. You may also get a "mortgage score," that is a score used in connection with residential real property loans. You are entitled to the mortgage score free if your loan is denied.

Can I get my credit score without also buying a credit report?

This depends mainly on where you live and where you get your score. Laws in California and Colorado allow you to get your credit score for a "reasonable" fee. Educational scores produced by the credit bureaus may also be purchased as a stand-alone product without also buying a credit report.

Are stand-alone scores of any value to me?

Stand-alone "educational" scores can give you an indication of your credit risk level. Also, a score that is completely out of line with your knowledge of your own financial status may indicate something amiss in the underlying credit report. But keep in mind, scores are in a sense a "moving target," depending on the information in the credit report at the time your file is scored.

New Construction Homes for Sale in Burnt Hills NY.  Stewart Construction-Custom Home Builder.   Your Credit Scores.

Will I know how the credit bureau arrived at this score?

When you request your "educational" credit score, it should come with a notice that tells you:

• That the credit scoring model may be different than the credit score that may be used by lenders.
• The range of possible scores under the model used.
• The key factors (limited to four) that adversely affected the credit score.
• The date the credit score was created.

Can I dispute a low credit score?

No. The dispute process outlined in the FCRA applies to your credit report, not your credit score. Since your score is based on data in your credit report at any given time, correcting errors in your credit report should improve your score. (For information on how to dispute data in your credit report, see www.ftc.gov/bcp/conline/pubs/credit/crdtdis.htm.)