Why You May Have No Credit Score or History

History Channel Documentary Why You May Have No Credit Score or History

In terms of making vast buys - like a house, an auto, or even an extra large flat screen television - a great many people utilization financing. This procedure regularly incorporates a credit check. In any case, what does your financial assessment look like in the event that you have no record as a consumer?

FICO rating Breakdown

Most banks utilize your FICO (Fair Isaac Corporation) score when figuring out if they will extend an offer of credit to you. FICO scores (additionally alluded to as financial assessments) range from 350 to 850. As showed by the rundown beneath, the higher your FCIO score, the better your FICO assessment:

Score somewhere around 750 and 850 is viewed as a fabulous rating.

Score somewhere around 660 and 749 is viewed as a decent appraising.

Score somewhere around 620 and 659 is viewed as a reasonable rating.

Score somewhere around 350 and 619 is viewed as a poor rating.

Be that as it may, it is conceivable that you can have a score of 0, which implies that there is insufficient data in your record to create a score.

Your Credit History's Role

A few individuals wrongly accept that no record of loan repayment is something worth being thankful for on the grounds that there can be no negative stamps on your report. Notwithstanding, in the event that you have next to zero history, getting financing endorsement can be troublesome.

Since your FICO score is construct basically with respect to how you have utilized credit as a part of the past, having no record of loan repayment abandons you with no score. Without a FICO assessment, moneylenders don't have a simple equation to figure out whether you are a danger. Numerous loan specialists would prefer not to take a risk on a dubious candidate.

Other Possible Factors for a Credit Review

An absence of financial record and no score does not mean you will consequently be denied financing. Notwithstanding the four principle components of a credit report - recognizable proof, account history, open records of insolvencies, liens, and so on., and request from different loan specialists - numerous moneylenders will likewise take a gander at your residency, job, and keeping money history.

Living arrangement History

Your living arrangement history can assume an essential part in the moneylender choice making procedure. Moneylenders may see not staying in one area for any expanded time of time or breaking a lease at a condo as negative elements. Alternately, a strong living arrangement history may be seen as a positive component for a potential bank.

Vocation History

Your vocation history is another component numerous banks survey, particularly in the event that you have practically no record. Steady and reliable work may be seen by moneylenders as a decent marker of a hopeful's level of obligation.