What’s Experian’s Credit score Enhance?
One of the biggest stresses on your financial life is nothing more than a lower credit score. Poor, or sometimes even fair, credit history can mean you are not qualified for certain types of credit accounts or loans. This can also lead to higher interest rates. This means you will be eligible for better interest rates and better credit if your credit score is better.
Then how can you improve your credit score? Experians Credit Boost or Experian Boost is the latest service that can help you do just that.
Experian Boost – what is it?
Experian is one of the top three credit bureaus in the United States. These credit bureaus collect data on individuals reported by lenders, including mortgage lenders, credit card companies, and banks, as well as from public records and debt collection agencies.
The company also creates credit reports that include the history of arrears, credit accounts, and items such as consumer bankruptcies. This also gives consumers a credit rating that is calculated using a unique formula. Experian currently has a brand new program called Experian Boost that is designed to help people improve their credit scores.
Some positive results have already been reported regarding the use of the program. According to Experian reports, Experian Boost users were able to increase their FICO credit score by an average of 13 points.
Since Experian Boost launched, roughly 60% of users have seen improvements in creditworthiness. However, you need to take into account that results may vary. There are some users who haven’t seen any improvements in their scores or their chances of getting approvals. Additionally, some lenders don’t actually use Experian credit records while others don’t use the scores affected by Experian Boost.
Experian Boost – How It Works
You must create your own Experian Boost account to use this free program. Remember, this account is different from your Experian account. When you register, you will be asked to create your own profile and provide Experian with some personal information.
Now that you’ve signed up and already have your own account, you’ll need to link the bank accounts you use to pay your utility bills to the program if you want those payments to give your score a boost.
Your payment history is then sent to Experian by Boost and the company then uses it to calculate your creditworthiness. These payments, along with the rest of the open accounts and credits, will appear on your credit report.
A particularly convincing feature of Boost is that only the positive payment history of your bank account is reported. The phone bill payment you missed last year is not reported. This is what sets it apart from the usual credit score calculations.
Experian Boost only shows positive payments on your reports and can certainly work to your advantage when it comes to improving your score.