Did you know that FICO® Score are the most widely used credit scores? 90% of all financial institutions use FICO® Score to help them understand a potential borrowers credit risk, and to make well informed lending decisions.
As a Member, obtaining and understanding your FICO® Score is a vital part of your overall financial health. We want to help you learn about why your FICO® Score matters, and how it plays a key role in your credit profile.
As a benefit to our members, we update your FICO® Score on a quarterly basis. This is a free service and has zero impact on your credit score.
How to Check Your FICO® Score for free:
- Log in to Online Banking.
- Choose "FICO® Score" from the "Financial Wellness" tab.
Frequently Asked Questions
Your FICO score is a standard measure of your overall financial health. When your FICO is healthy, it can help you qualify for long term financial benefits including the best loan rates, terms and promotions. FICO is also a standard measure of credit worthiness that lenders use to asses the risk they take when making loans and extending various forms of credit.
Your FICO Score is blend of factors based on all of your prior credit decisions. Because the score is based on your credit history, it is considered an unbiased and proven way to evaluate credit risk. Based on your past history, a FICO score is generated using 5 key factors:
Payment history (35% of your scores): This factor looks at your ability to repay your credit accounts on time. Missed payments and late payments will likely negatively impact your score.
Amounts owed (30% of your scores): This factor looks at the amount of credit and loans you are using.
Length of credit history (15% of your scores): This factor looks at how long you've had credit.
New credit (10% of your scores): This factor looks at the frequency of credit inquires and new account openings. A high number of inquiries will likely negatively impact your score.
Credit mix (10% of your scores): This factor looks at the mix of your credit, retail accounts, installment loans, finance company accounts and mortgage loans.
Keeping each of these factors in mind when making credit decisions will ultimately help you create and maintain a healthy score. It is ultimately up to you to create responsible credit habits that will have a positive impact on your FICO® Scores.
A high FICO score is the result of healthy credit behaviors over time. Here are some tips and tricks to keep your FICO healthy and improve your score if you have made credit decisions in the past that negatively impacted your score.
Pay your bills on time
When you have late payments or collection notices, this can have a major negative impact on your FICO® Scores. If you're behind on payments, get current and stay current.
Avoid having payments go to collections
Even if a collection account is paid off, this will not remove not remove it from your credit report once paid. In fact, it will stay on your report for seven years. Avoid allowing unpaid debt to go to collections.
Keep balances low on credit cards and other "revolving credit"
When you use your credit cards, be mindful about what percentage of your total credit limit is being used, as high utilization rates can have an impact on your score. It’s best to keep the utilization rate low on each of your revolving lines of credit.
Don't close unused credit cards in an attempt to raise your scores
Just because your aren’t using a credit card, doesn’t mean you should close the account, especially if it’s one of your older cards. Keeping the account open will show a longer credit history, which is good for your score.
Have credit but manage it responsibly
Ultimately, having a mixture of credit is a good thing — as long as you make your payments regularly and on time. Someone with no credit cards tends to be higher risk than someone who has credit cards and manages them responsibly.
Here are some handy resources to explore:
- For more FICO Score Credit Education, learn more here: https://www.ficoscore.com/crediteducation.
- Check out FICO financial calculators here: https://www.ficoscore.com/financialcalculators.