IdentityIQ credit score provides insight into your financial habits and potential risk when applying for a loan or credit card, but many people wonder how accurate the score is. Credit scores are calculated, which use personal information, including spending habits and payment history, to determine your creditworthiness and thus how risky it may be to loan you money. The three major credit bureaus each keep their records of consumer data and generate their scores based on this information. How accurate are these scores?
1: What Is The IdentityIQ Credit Score?
IdentityIQ credit score predicts an individual’s risk to creditors. The higher your credit score, the less risky you are and the greater likelihood that you will repay borrowed money on time. Because of its predictive power, there is a wide range of creditors, from those with large amounts of available capital to small businesses looking for new customers, who want access to your IdentityIQ score and related data. That’s where our partners come in!
Through them, you’ll be able to share your data for free in exchange for receiving personalized offers designed especially for you based on what we know about you already. And if you choose to accept any of these offers, they’ll help facilitate a seamless transaction between you and your new creditor.
For example, let’s say you decide to refinance your home mortgage. You could have an identity verified by us and apply for a loan through one of our partners. They would then use your information to process your application—with both parties knowing that it was done securely and legitimately—and transfer funds into a savings account designated by you.
2: When You Need To Check Your IdentityIQ Credit Score
If you’re planning to take out a loan, apply for a new credit card or take other financial steps that require credit history, it’s important to know where you stand. When lenders make decisions about your application, they want to see evidence of good behavior when it comes to borrowing money and paying back what you owe. If your identityiq credit score is below average for your age group, there are ways you can improve your standing without waiting years to build up a solid track record.
For example, having an overdraft on your bank account could hurt your score—but if you pay it off quickly, that negative incident will drop off in 12 months. By staying on top of your credit report, you can keep an eye out for such issues before they become problems. Checking your identityiq credit score regularly will also help you spot potential errors as soon as possible so you have time to correct them before they become a problem.
3: What Happens If Your Identityiq Credit Score Shows Incorrect Information
Thankfully, there are some things you can do to protect yourself against inaccuracies.
For example, if your credit score says you have an outstanding debt that doesn’t belong to you, it’s a good idea to dispute it with the credit bureau that issued it. The bureau will look into it and make corrections as needed. Most bureaus allow you to dispute inaccurate information either online or over the phone. You’ll usually need to provide supporting documentation as well (more on that in a minute).
If you can prove that certain errors aren’t your fault, don’t be afraid to fight for changes! It’s also important to know that identity theft isn’t always obvious at first glance. It could take time before fraudulent activity shows up on your report—and by then, someone might already have been able to take advantage of you financially. To help prevent situations like these from happening, pay attention to what’s going on with your credit and regularly check for suspicious activity. By taking a proactive approach, you can help keep yourself safe from identity theft—and avoid being one of its victims!