What is Credit and Why Does It Matter?
Credit is your financial reputation. It’s a record of how you’ve managed borrowing money over time. Lenders, landlords, employers, and even insurance companies often check your credit score to decide whether to work with you. A good credit score means better rates, lower fees, and more financial freedom.
Common Credit Questions, Answered
1. What is a Credit Score?
A credit score is a number that represents your creditworthiness, typically ranging from 300 to 850. It’s based on your payment history, credit utilization, length of credit history, new accounts, and types of credit used.
2. How is My Credit Score Calculated?
Credit scores are usually calculated using these five main factors:
- Payment History (35%) – Whether you pay your bills on time.
- Credit Utilization (30%) – The amount you owe compared to your credit limits.
- Length of Credit History (15%) – How long you’ve had credit accounts.
- New Credit (10%) – The number of recent credit inquiries.
- Credit Mix (10%) – The variety of credit accounts you have.
3. What Hurts My Credit Score?
- Late or missed payments
- High credit card balances
- Too many recent credit inquiries
- Defaulting on loans or having accounts in collections
- Bankruptcy or foreclosure
4. How Can I Improve My Credit Score?
- Pay bills on time
- Keep credit card balances low
- Avoid opening too many new accounts at once
- Regularly check your credit report for errors
Why Evergrowth Makes Credit Recovery Easy
At EverGrowth, we know that fixing your credit can feel overwhelming. That’s why we focus on making the process simple, clear, and stress-free. Our team of experts will:
- Identify Errors – Spot mistakes on your credit report that could be dragging your score down.
- Dispute Inaccuracies – Handle the paperwork and follow up with credit bureaus on your behalf.
- Create a Plan – Provide personalized guidance on paying down debts and building credit.
- Monitor Progress – Keep you updated every step of the way, so you always know where you stand.
Ready to take control of your financial future? Contact us today for a free consultation and start your journey to a better credit score.