It is always a good idea to monitor your credit report and make sure things are correct. It is doubly nice when you actually get the chance to see what your score is looking like. American Express is offering their credit card customers this opportunity. From their website -
Why should you request your complimentary 30-day Credit Score & Report?
- It allows you to detect possible inaccuracies on your Credit Report
- It provides you immediate access to your valuable Credit Score for 30 days
- It enables you to see who has viewed your Credit Report
- It helps you determine if your accounts are in good standing
My personal PLUS(not FICO) score, based on my Experian report is 762.
About your PLUS Score:
Your PLUS Score is formulated using the information in your credit file. Your PLUS Score can range between 330 and 830, with a higher score indicating a lower risk. There are many scoring models used in the marketplace. The type of score used, and its associated risk levels, may vary from lender to lender. But regardless of what scoring model is used, they all have one purpose: to summarize your creditworthiness. Keep in mind that your score is just one factor used in the application process. Other factors, such as your annual salary and length of employment, may also be considered by lenders when you apply for a loan.
What your PLUS Score means:
Factors in your credit file indicate you have excellent credit. Lenders will likely offer you the best rates and terms.
What this means to you:
Credit scoring can help you understand your overall credit rating and help companies better understand how to serve you. Overall benefits of credit scoring have included faster credit approvals, reduction in human error and bias, consistency, and better terms and rates for American consumers through reduced costs and losses for lenders. While lenders may use different scoring models to determine how you score, and each major credit bureau has its own method for calculating credit scores, the scoring models have been fairly well standardized so that a score at one bureau is roughly equivalent to the same score at another.
What factors raise your PLUS Score:
You have paid your bills on time and currently do not have any overdue accounts or derogatory information, such as a collection, charge-off, or bankruptcy, on your report.
You have a good cushion of available credit between your current balance and your credit limits on all open trades. This has a positive affect on your credit score. This cushion shows lenders that you are unlikely to overextend yourself financially.
The total balance on all your credit cards is relatively low compared to your total available credit limit. This has a positive impact on your credit score.
You have at least 2 or more open major credit cards, such as Discover, American Express, VISA, or MasterCard, on your credit report. This often tells lenders that you are a responsible borrower and they may be more likely to see you as a good credit risk and extend you credit.
What factors lower your PLUS Score:
Each time a potential lender or landlord pulls your credit report for review, an inquiry is placed on your file. Inquiries stay on your credit report for up to 2 years. Having several inquiries on your credit report is negatively affecting your score. They are not necessarily negative information, but too many inquiries may indicate to lenders that you are trying to take on more new debt or possibly overextending yourself.
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