You can check your credit score for free at GoFreeCredit.com. The site provides a free latest credit score by TransUnion. You’ll also get a free 3-in-1 Credit Monitoring Trial with Equifax, Experian, and TransUnion if you are concerned about identity theft or are anticipating applying for a loan soon. Simply cancel before the free trial period is over if you no longer want credit monitoring.
I highly recommend everybody check their credit score at least once every 6 months. I have had numerous errors over the years which have negatively hurt my score. Studies show that 30% of all credit reports are wrong! One time, I had some delinquent payment due to a $8 utility bill that I owed after moving out of a rental which I had no idea. That delinquent bill dragged down my credit score by 100 points and almost cost me $20,000 in mortgage refinance savings over 5 years!
Good credit is essential for student loans, auto financing, credit card rates, and getting the lowest mortgage possible. The difference could be in the hundreds of thousands over the life of a loan. Furthermore, it is shocking to find out that the average credit score for a rejected mortgage application is 729. Banks have become very stringent with mortgage loans and refinancing, which is why you need to know your score in order to improve your score.
BENEFITS OF CHECKING YOUR CREDIT REGULARLY
1) Protect against credit and identity theft.
2) To make sure you don’t have an errors on your report which unfairly hurt your credit.
3) Shows whether you have any liens on your credit which prevent you from getting a loan.
4) Prepares you for what you need to do to improve your credit.
5) Prevents you from wasting time during a mortgage application process which might not go through.
6) Gives you bargaining power when taking out a car loan or a loan for any other high ticket merchandise.
About the author: Sam started FinancialSamurai.com in 2009 during the middle of the financial crisis to help people slice through money’s mysteries. He is a 13 year veteran of the financial services industry and received his MBA from UC Berkeley in 2006. As an avid real estate investor with five properties, Sam is all over his credit report and his credit report to ensure that he gets the lowest mortgage rates possible. The latest mortgage rate he secured for his primary residence is a 5/1 ARM jumbo for 0 points at 2.25% in January, 2015. His credit score is currently 810.