A credit rating is a numerical expression based on a level analysis of a person’s credit history, which is used by lenders to assess the risk of lending money. It is a crucial factor that can impact various financial decisions, including loan approvals, interest rates, and insurance premiums.
Checking your credit rating regularly is essential for several reasons. It allows you to monitor your financial health, identify any errors or fraudulent activities, and take steps to improve your score if necessary. A higher credit rating can lead to better loan terms, lower interest rates, and increased financial opportunities.