Credit Reports and Credit Scores

Credit report versus credit score

A credit report is a record containing information about borrowing and repayment history. A credit score is a number produced by a scoring model using information from a report. The report is the underlying file; the score is one model's summary of selected information.

A person can have more than one report and more than one score. Companies use different scoring models, data sources, and timing, so one score is not universal.

What may appear in a credit report

A report may include identifying information, credit accounts, balances, payment history, inquiries, and certain public-record information where applicable. It may also show who supplied account information. A report does not necessarily include every bill or every financial activity.

Payment history, balances, and utilization

Payment history records whether reported account payments were made as agreed. Balances show amounts reported on accounts. Credit utilization compares a revolving balance with the available credit limit. Scoring models may use these and other factors, but they do not all calculate them in the same way.

This lesson does not estimate score changes or promise that one action will change a score by a particular number.

Hard and soft inquiries

An inquiry is a request to review a credit report. A hard inquiry often follows an application for credit and can be visible to others who access the report. A soft inquiry can include checking one's own report or certain account reviews. The CFPB explains that checking one's own report does not affect credit scores.

Official report access

AnnualCreditReport.com is the official site authorized for free credit reports under federal law. Access frequency and procedures can change, so the current official site and regulator guidance are the appropriate references. The Learning Center does not collect the personal information needed to request a report.

Errors, disputes, and identity-theft warning signs

Unrecognized accounts, unfamiliar balances, or incorrect payment information may warrant review. Official guidance explains how to contact both the reporting company and the information provider about an error. Accounts a person does not recognize can also be a warning sign of identity theft.

This lesson gives only a high-level orientation. It does not handle a dispute, verify an identity, or replace official instructions.

Worked example

A fictional report lists one student loan, one revolving account, a reported balance, a payment history, and one recent hard inquiry. A separate service produces a score using one model. Another model could use the same report information differently, so the two score numbers may not match.

What related tools do not calculate

The Credit Card Interest Timeline models balance repayment assumptions, and the Student Loan Impact Calculator models loan repayment assumptions. Neither tool calculates a credit score, reads a credit report, or predicts a lender decision.

Related lessons and tools