Confused about what is a credit score?
In short, great credit means more financial options and more savings.
Your credit score is one component of your credit profile, with the other being your credit report.

The two are certainly related but also very different.
Your credit report (available for free atannaulcreditreport.com) provides a history of all past and present credit accounts.
If youve ever missed a payment, that will likely show up on your credit report.

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Itsused by roughly 90 percent of lenderswhen reviewing applications for credit.)
Think: buying a home, starting a business, owning a car, etc.
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you’re able to check your score in a number of ways, often for free.
So, when nurtured, credit holds the power to make our financial goals closer to reach.
And understanding how to boost your score allows you to best nurture it.

Farnoosh Torabi is a financial expert, bestselling author and host of the award-winning podcastSo Money.
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