If you’ve ever looked for credit at some point in your life, you’ve probably heard of score . But do you know what this term means, how your calculation is done and how it interferes with your loan application? Calm down, we’ll explain.
The score is a financial score given to consumers. Generally it is calculated by credit bureaus, but some institutions have their own scores to use in credit analysis.
In general, it is used by companies when granting credit to a consumer, as it is based on statistics that indicate the probability of default on the part of a person based on a series of data that we will explain below.
How to find out my score
As we have said, credit bureaus calculate each consumer’s score. As there are several biros and each has its own score, you can have a high score in one company and a medium score in another. So to find out your score you will first need to know which score you want to know. The most common and widely used in the credit market are the Serasa and SCPC scores.
In both cases, it is possible to find out your credit score directly on the companies website. Serasa offers the service on the Serasa Consumer website. The SCPC Boa Vista offers is the opportunity for the consumer to discover their score through the site Positive Consumer .
What is considered in the calculation?
Each credit biro has its own criteria for calculating the score, and there may be variation in the mesmp. In general, they use data such as records in the SPC and Serasa, to know if that consumer has recently defaulted, age, income, ZIP code and marital status.
With this information and other intelligence from these companies, a score of 0 to 1000 is calculated that tells you the default risk of the consumer in question.
High score does not mean credit approval
It is important to note that those who have a high score will not necessarily have a credit release. This is because each financial institution works with its own credit analysis, whether or not it can use the score score of credit bureaus.
In addition, even if the institution uses the Serasa score, for example, in its credit analysis, this may not be the only criterion for the risk analysis that will determine whether or not the loan will be granted and what the conditions will be. payment and fee.
How to improve my score
The score is not a fixed score and may worsen or improve depending on consumer behavior. So there are some actions that can help you in the task of having a better score:
- always pay your bills
- remove late debts
- keep your data up to date on Serasa / SCPC
- make your positive registration
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