Skip to Main Content

Start Of Main Content

Learn the difference between your credit reports & scores

Get informed on the roles and relationships between credit reports, scores, and bureaus.

Chapter 4: Credit Reports, Credit Scores, and Credit Bureaus

Now that you're getting into understanding credit, it's also important to understand the relationship between credit reports, credit scores, and credit bureaus.

This chapter helps clarify these terms. With a better understanding of the different roles reports, scores, and bureaus play, you may make informed decisions on how to improve and protect your credit score.

Watch the video and keep your Credit Myths: Discredited Worksheet close by to follow along and take notes.


Video Transcript

Which came first - credit reports or credit scores?

Credit reports contain all the information that goes into figuring out your credit score - information about your payment history and credit utilization ratio, along with the other items we discussed in Chapter 1. 

Credit inquiries are one of the items found on your report and they make up 10 percent of your score. There are two types of credit inquiries: hard and soft. Hard inquiries may hurt your credit, while soft inquiries typically don't make an impact. 

The bureaus. 

There are three major credit bureaus: Equifax, Experian, and TransUnion. What's interesting to note about the bureaus is that each creates its own version of your credit report. 

You could keep an eye on the information they have by checking Checking in will help you monitor, adjust, and plan to make the changes you need to rebuild your credit score. 

Your Chapter 4 Checklist:

Next Step

Financial Foundation for Freelancers
Get some great financial tips to help you get better control of your business and personal budgets.



Also Important

Reaching Your Financial Goals

Reaching Your Financial Goals

Those goals don't have to be lofty or complicated. Keep them simple and attainable is the message here.

Understand What Impacts Your Credit

Understand What Impacts Your Credit

Learn what goes into your credit score so you could find ways to improve it.

Related Articles

What to Know Before You Start Investing

What to Know Before You Start Investing

Before you make the leap to investing, check out the guidance offered by these experts.

The Financial Differences of Freelancing

The Financial Differences of Freelancing

Take a quick look at what defines and differentiates work life for freelancers.

Keeping Your Investments Diversified

Keeping Your Investments Diversified

If you're looking to balance or mitigate the risk levels in your investments, diversification is your best option.