Have you ever wondered what your credit score was? If you have, now you have the opportunity to find out as a Sallie Mae borrower. Your credit score is an important part of who you are. The score helps determine your rates for things such as car insurance and it also helps to determine whether or not you will be approved for an automotive or home loan.
Want to know more of the details? We will go over them below.
What Sallie Mae Borrowers Receive
If Sallie Mae is your student loan provider you can expect to receive the following items:
- Personalized information about what is affecting your score
- Free quarterly FICO scores
- Credit score education and resources
- FAQ about credit
- Information about the FICO score and how it is calculated
The company says this move is to help students determine what their credit score is so that they can ultimately make better financial decisions. It is important to have this information on hand because you will be able to see what changed from quarter to quarter.
You will be able to take the information contained in the report and then use it to help improve your score. This is a great opportunity too because you will be able to catch any negative information right away and not let it linger.
Not a Sallie Mae Borrower?
If you are not a Sallie Mae borrower, you can still find out your FICO score through other sources. While many sources do require you to pay for them, there are some financial institutions that do offer a free FICO score.
In addition, your credit score and FICO score can be obtained through any of the major credit reporting bureaus – Equifax, Experian, and TransUnion.
FICO Score vs. Credit Score
While you can obtain your credit score from many sources online, it is important that you view your FICO score as well. Most lenders will look at your FICO score when determining your credit worthiness.
If you have ever been told your credit is good but your FICO is not so good, you may be wondering what the difference is. Traditional credit scores are referred to as FAKO and they are determined by an algorithm that each company uses and thus why the number varies from credit bureau to credit bureau.
FICO is a type of credit score that was developed using a specific set of analytics. The score itself uses the analyzed information and then develops a score to help a lender predict what your behavior may be should they lend you money, etc.
Below, we will go over some tips to help you boost your credit score, which in return can help you boost your overall FICO score based on your behavior.
Credit Score Tips
When it comes to your credit, you need to make sure that you are paying attention to it and not letting it fall wayside. Here are some tips to help you keep a good credit score or boost your current score.
1. Pay All Bills on Time
Paying your bills on time is a huge thing and if you are not, you are placing your credit score at risk. You need to make sure you sit down and budget correctly so that you can send in payments on time every month.
2. Pay Off Debt
Next, start working to pay off your debt. Not sure which student loan to pay off first? You should start with the oldest account with the highest interest rate. As you pay off your old debt, do not incur any new debt, otherwise, you will not make any progress.
If you have old accounts with debt still lingering around, call the collection company and find out if you can negotiate a deal. Often, these companies will settle for a fraction of the price as long as you pay it within a reasonable amount of time.
If you are a Sallie Mae borrower, this is a great opportunity for you. Keeping tabs on your FICO score will help you later on when you want to borrow money. If you have credit trouble, use this as a stepping stone to improve your credit and watch your credit score.
Author: Jeff Gitlen
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