FICO Score

A FICO Score is a three-digit number, typically ranging from 300 to 850, that represents a person's creditworthiness. It's used by lenders to assess the likelihood that someone will repay borrowed money. The score is calculated using information from your credit report, including payment history, amounts owed, length of credit history, new credit inquiries, and types of credit used. A higher FICO Score suggests better credit risk, which can lead to better loan terms, like lower interest rates. Maintaining a good FICO Score is essential for favorable financial opportunities.