Understanding and Analyzing Credit Scores Quiz

Credit score assesses an individual's creditworthiness.

Payment history is a major factor influencing credit scores.

Global Credit Bureau is not a prominent credit reporting agency in the US.

Credit monitoring denotes self-checking of one's credit report.

APR represents the annualized cost of credit.

Payment history holds the most significant influence on credit scores.

The highest possible score in FICO, indicating excellent credit.

Timely payments aid in boosting a low credit score.

Marital status usually doesn't affect credit scores.

Alternative credit score incorporates non-traditional data for scoring.

Credit limit denotes the maximum borrowing capacity.

Lower utilization ratios usually yield higher credit scores.

Credit utilization ratio gauges debt relative to credit limits.

Frequent credit account applications can harm credit scores.

Credit report records borrowing and repayment activities.

Derogatory marks signal risk to potential lenders.

Closing a credit card account may decrease the credit score.