What is the difference between a credit report and a credit score?

A credit report and a credit score are two different kinds of reports used to evaluate a person’s creditworthiness. A credit report is a detailed history of an individual’s credit history, including accounts held, payment history, and any negative items, such as bankruptcies or late payments. It is updated periodically and can vary from company to company. A credit score is derived from information in a credit report. It is a numerical representation of the individual’s creditworthiness. It usually ranges from 300 to 850, the higher the number, the better the score. Factors like payment history, number of accounts held, and debt owed to credit limits are considered when calculating the score. In North Carolina, it is important to understand your credit report and credit score as they are used to determine loan eligibility. Individuals with poor credit may be disqualified from obtaining credit or may have to pay higher interest rates on loans. Additionally, credit repair laws in North Carolina exist to help individuals who have inaccurate information on their credit reports.

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What is the difference between a credit report and a credit score?

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