By this time, most folks who are considering buying a home or a car or insurance recognize that their credit score will effect how much they must pay for those items.  Many, however, do not understand where their credit score comes from.  Realty times has a good article about where credit reports come from and how they can affect each of us.  CLICK HERE to read the article.

Keep in mind the difference between a credit report (past credit account history) and your credit score (a three digit number, derived from your credit report).  Knowing your scores, and understanding your reports is vitally important to today's consumer.

PS. Interestingly, some lenders are moving away from using credit scores as they maintain the method of determining the score is flawed.  The lenders still have to determine the risk to their loans but they are using issues like debt to asset ratio and history of loan payment to determine whether to loan or not.