Take it from someone currently in their 20s \u2013 maintaining good credit can be a difficult task. Heck, I know plenty of millennials who have absolutely no credit history.<\/p>\n
A recent study conducted by Credit Karma<\/a> showed that more than two-thirds of Americans go through at least one noteworthy \u201ccredit fumble\u201d before hitting 30 years old. And three-fourths of those in the study said credit mistakes could have been avoided if they had better or more financial education.<\/p>\n With statistics like these, it still baffles me that public education still puts eventual meaningless required courses ahead of important things like credit scores, loans, interest rates, taxes and so much more.<\/p>\n That being said, it\u2019s vital to learn about finances, because three-fourths of the survey respondents said early financial mistakes affected their lives negatively later.<\/p>\n In short, the score attached to your name means a lot to lenders you want to get a loan from. It will also have a big impact on the interest rate on the loan. Credit.com<\/a> categorizes credit scores into these brackets:<\/p>\n Clearly, you want to be in the 700s to get quality loans from lenders. If you\u2019re below 700, you have your work cut out for you and it might be hard to acquire a loan or credit card.<\/p>\n There are five major aspects that go into building your credit score. Being able to know what these are and how you can positively affect them is key if you\u2019re trying to repair or maintain credit.<\/p>\nWhy Does Your Credit Score Matter?<\/strong><\/h2>\n
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How Are Credit Scores Calculated?<\/strong><\/h2>\n