Many people do not know what the terms like credit, credit score and credit history implies. It is very important to understand what they precisely mean as these terms can be very significant in anybody’s financial stability. Credit shows how much trustworthy and responsible a person will be for the funds he or she borrowed. Financial transactions are heavily dependant on the credit you have.
A credit history or credit report will have all the details about the borrowing, repaying, late payments and bankruptcy committed by you until then. A credit score gives you an approximate three-digit figure that indicates your financial creditworthiness and your credit report will by and large determine your credit score.