Does Credit History have you confused? Every one puts such a huge importance on your credit score.
Why is this credit score so important?
And how is it determined?
Your credit score is based on multiple variables that are dependent on your credit and amount of money loaned out to you.
Like - historical payments, time you have had an account, types of accounts and age of account
Your credit, or more appropriately addressed as the ability for you to pay back the money that has been loaned to you, whether it be through a credit card, mortgage, home equity loan, car, RV, boat, motorcycle, rental apartment or town home, or just about anything that involves you paying back money trustingly for the items you have purchased or pay for on a monthly basis.
When your credit score is accumulated, each item is passed through a system where points are either awarded or deducted based on the status of the terms.