What is a credit record?

The Concept of Credit Score and Examples of Credit Records

The credit score is a number that evaluates and estimates your creditworthiness based on your credit history. Lenders use credit records to determine whether they want to approve someone for a loan or credit card, and to set the interest rate.

How Credit Records Work

Credit verification models allow individuals to generate individual credit records using an automated process. Reading a full credit report for someone takes a long time, and lenders would have to spend resources doing so for each applicant if they didn’t have access to credit records. Credit records provide a much simpler way for potential lenders to assess creditworthiness.

Types of Credit Records

There can be different types of credit records available for various lending purposes. For example, FICO offers specialized credit records for auto financing, obtaining a mortgage loan, and qualifying for a credit card.

How to Improve Your Credit Record

Both FICO and VantageScore may not share specific details on how their models work, but they provide guidelines on the factors that matter most to them. Timely loan payments should always be a priority, as payment history is the most important factor in the credit record for major credit models.

How Can I Check My Credit Record?

It is easy to review your credit records, though you may have to pay a fee.

Source: https://www.thebalancemoney.com/what-is-a-credit-score-and-why-is-it-important-4691429