Credit Score Ignorance

[jeffrey]

A new survey has found that the majority of consumers do not understand what credit scores measure, what good and bad scores are, and how scores can be improved. Only about one-third of consumers correctly understand that credit scores indicate the risk of not repaying a loan, not factors like financial resources to pay back loans or knowledge of consumer credit. The study by Opinion Research Corporation for the Consumer Federation of America and Providian, revealed that less than half of consumers know that electric utilities, home insurers, and landlords often use credit scores to decide whether to sell a service and at what price... [read more at cardweb.com]