 
What is a Credit Score?
Credit Scoring has been used for years by those making decisions about your suitability for obtaining and managing credit.
Credit Scoring is a very complex affair. Those consumers who are interested in addressing their own bad credit scores should talk to the professionals at Credit Heaven!
Credit Scoring systems use various statistical programs that take into account many factors. Some of these include the number and type of bank accounts a person has, their history of bill paying, outstanding debts, any collections actions that have been brought against them, bankruptcies and others. The statistical programs used work by comparing an individual's history and background with that of other consumers with similar financial situations in order to assess the likelihood that the debt will be managed appropriately and repaid. The scoring system awards points for predictors of future ability to repay credit debt. The total amount of points is called a 'credit score' and can be the most important variable in determining whether or not you will be able to receive credit.
Credit scoring systems are based on empirical, real world data and, as a result, enable a creditor to place less reliance on subjective opinions of the people responsible for offering credit to those who apply. These systems seek to assess every individual objectively with a goal to place less emphasis on variable, individual criteria.
Many credit scoring systems heavily empathize an individual's credit report, which is why an accurate credit report is essential to anyone seeking credit. Your credit history won't just affect your ability to borrow, but even how much money it costs you to borrow!
The Consumer Federation of America offers information and articles about credit scores. Read through the FTC's information about credit scoring.
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