You’ve likely heard that having a good credit score is important. But why does this three-digit number matter so much? It can impact your finances in many ways. Whether you want to make a major purchase with financing or clear a potential employer’s screening, a high credit score can come in handy. Let’s take a…
It’s often a challenge to stay on top of household finances. Whether you are managing money by yourself or with a partner, life tends to get in the way of financial decision-making. If you have trouble setting aside time for financial planning, a money date might be the perfect solution. Let’s explore what a money…
Financial and lending institutions use credit scores to determine how likely someone is to repay a loan. According to FICO, the average credit score in the United States is around 716, but that number varies significantly by state. Credit scores range from 300 to 850, and each number corresponds to a different level of credit…
Economic inequality is the unequal distribution of wealth, income, and opportunity between different groups in society. It affects social structures deeply because it leaves some communities more vulnerable to poverty and harm than others. This inequality affects our society—because with more equality we have a stronger economy. Six most vulnerable populations bear the brunt of…
Collections, which are major derogatory items, are one of the worst things to have on your credit report. Like other negative information on your credit report, collections can damage your credit score significantly for a long time—they can stay on your credit for up to seven years! This ultimate guide to collection accounts on your…
You may already be aware that your credit utilization is a major component of your credit score, but did you know that this category encompasses more than one type of utilization ratio? In this article, we will talk about the difference between your overall credit utilization ratio and individual utilization ratios and why it matters to…
It’s not uncommon to switch jobs, especially in the wake of the “Great Resignation.” For many, a lengthy job search can yield a worthwhile job opportunity. But finding a new job is just the beginning. As you navigate the change, you’ll need to carefully consider the impacts on your finances. Let’s explore how to prepare…
This article was contributed by credit expert John Ulzheimer. Most of the time when I’m asked about credit scores the line of questioning is commonly about how to improve scores. It’s equally often, and equally enjoyable, when I receive questions from people about how many points certain things from your credit reports are worth to…
People who are serious about improving their credit often wonder what it takes to get the highest possible credit score. For the FICO 8 credit scoring model, the perfect credit score is 850. According to Experian, as of the third quarter of 2021, 1.31% of FICO scores were the perfect 850 credit score. There are…
Emotional spending is one personal finance issue that many struggle with. According to a NerdWallet survey, 49% of Americans said emotions have caused them to spend more than they can reasonably afford. With almost half of Americans struggling with emotional overspending, you aren’t alone if you are facing this issue. While emotional spending is common,…