America is a nation that runs on credit. According to Forbes, around 38% of all American households currently carry a balance on their credit cards of more than $16,000 in debt.
What's far more shocking than this --- is just how little the American public knows about credit and credit scores.
Financial expert Nicole Lapin is here to dissect the information.
What is your credit score?
- 35% payment history
- 30% amount owed
- 15% length of history
- 10% credit mix
- 10% new credit
Let's go through a few common myths...
- Better to be debt free or pay off debt?
- I have to carry a balance on my credit card to improve my score.
- Closing multiple accounts will help my credit score.
- Paying off a negative report makes it disappear.
Everyone is entitled to a free copy of their credit report. So how do we get one?
Authorized by federal law...just go to: annualcreditreport.com
Your credit score will save you money! Get a free copy of your report, check for errors & fix them.
Follow Nicole Lapin on Twitter: @NicoleLapin
Copyright 2016 FOX 11 Los Angeles : Download our mobile app for breaking news alerts or to watch FOX 11 News | Follow us on Facebook, Twitter, Instagram, and YouTube. Be a citizen journalist for FOX 11 and get paid – download the Fresco News App today.