Credit Score: This is a number that is supposed to show the lender how likely you are to repay a loan--whether you are a good or poor credit risk. This score can be a very big factor in determining whether you will get a loan, from whom, and what interest rate and fees you will be charged for your loan. The score is generated by a mathematical formula that considers your credit reports and other factors. It may also be referred to as FICO score (Fair Isaac Company) or Beacon score or some other name-these are companies that create credit scores. (See Chapter 6 in The Complete Guide to Your Real Estate Closing.)

 

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Credit Score: This is a number that is supposed to show the lender how likely you are to repay a loan--whether you are a good or poor credit risk. This score can be a very big factor in determining whethe . . . View Full Definition

Credit Report: This is a report which is generated by a credit reporting agency (such as Trans Union, Experion or Equifax). It is supposed to show accurately the history of your on-time and late payments o . . . View Full Definition

FICO® Score: Created by the Fair Isaac Corporation, FICO® is the best-known credit scoring system in the US. Based on the information in your credit report, your FICO® score is calculated using complex, . . . View Full Definition

Credit Repository: Organizations that maintain and make available public credit history records, lenders use information from credit repositories to derive credit scores for potential borrowers.