Your credit history shows how you handle money and pay your bills. It is important to know what is in your credit history because it can affect whether you are approved for a job, an apartment, a credit card, or a loan. It also impacts how much it will cost you to borrow money.
Your credit history is a record of how you use money. It includes details like:
The three major credit bureaus—Equifax, Experian, and TransUnion—gather this information and include it in your credit report.
You can check your credit report for free. Read Checking Your Credit Report to learn how.
Your credit history helps businesses decide if they can trust you to repay money. It affects whether you can get a loan, rent an apartment, qualify for a credit card, or even be hired for certain jobs. It also determines how much interest you will pay when you borrow money.
A strong credit history includes positive information like paying your bills on time and keeping credit card balances low. Negative information, such as late payments, can lower your credit standing.
You may not have a credit history if:
Without a credit history, it can be harder to qualify for a job, rent an apartment, or get approved for credit.
If you are looking to build your credit, check out our guide on Improving Your Credit.
A credit score is a number that is based on the information in your credit history. Each credit bureau calculates its own score, which usually ranges from 300 to 850.
It may cost money to check your credit score. Some companies advertise free scores but may require you to sign up for a subscription service that charges you monthly.
Before paying to see your credit score, consider if you really need it. If you know your credit history is in good shape, your score should reflect that.
Information provided by the Federal Trade Commission. Learn more at consumer.gov.
