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Are you new as a credit consumer and want to start building your credit profile? Experian has got you covered. Learn more about Experian Go, their new tool that helps people with no credit history start building their profile in minutes…Without going into debt. Read more to better understand the first of its kind tool and achieve your financial goals.
First of all, what is Experian?
Experian is an information company that compiles data on every business and individual consumer in the United States. They build credit files for banks and lenders to analyze the behavior and habits of potential clients and determine their eligibility to lend them money. In other words, lenders rely on Experian information when you apply for financial services (such as credit cards, personal loans, student loans, mortgages, etc.) and base their decision on what your credit report says. They serve as a credit bureau, but it is not the only one. You can have a different credit report on each of the three main credit bureaus. These are Equifax, TransUnion, and Experian.
How does it work?
This new tool comes as the output of Experian’s mission for people to achieve greater financial inclusion in the United States. Experian Go will help you build a favorable credit score depending on your situation. You will start by registering for their free Experian membership. Then you must authenticate your identity by providing an issued state ID, Social Security Number, and your cutest selfie. From there, all recommendations on how to start to build your credit profile will appear. Measures such as connecting your bills directly to your Experian credit report or applying to a credit starter credit card will help you build out your profile. Step by step, you can achieve favorable credit ratings! Experian Go also provides users with continuous recommendations, credit monitoring, and access to their financial planning tool.
As part of the journey to build your scores, they will also introduce you to Experian Boost. With this tool, you can raise your score by adding on-time paid bills such as your utility services, streaming platforms, internet, cable, and cellphone to your Experian credit report.
Why is having a credit score important?
A credit score is necessary in order to borrow money. It will determine your interest rates, terms, and borrowing conditions. Apart from these, credit scores also help others locate you as a borrower. Take insurance companies for example. They use your scores for determining premiums for auto and homeowner coverage or for homeowners when they decide to lease their properties to someone. People who have a non-existent credit history have a rough path to getting approved for loans, and the rates imposed come at a very high cost aside from other credit difficulties. Therefore, keeping a healthy credit score will bring you closer to the goals you want to achieve.
Most of the big decisions in life, such as buying a car or a house, require a loan. Thus, your credit score is very important and relevant. Monitor it frequently to take early action and prevent incorrect information from damaging it. We recommend each month or every 45 days, which is the usual updating time from credit bureaus. You can check your credit score for free on the Crediverso website in both English and Spanish.