Your credit score is an indicator of how likely you are to repay the money you borrow. Lenders use it to decide if they will approve you for a loan or credit card and with what terms. The higher your credit score, the more likely you are to be approved with favorable terms.

Credit scores are updated every month. Lenders report your account activity to the credit bureaus – Equifax, Experian, and TransUnion – who then update your credit report and score accordingly. The exact timing varies depending on when your lenders send updates. Since scores reflect your most recent credit data, they can change frequently based on your payment history, balances, and other factors.

It’s a good idea to check your credit score every month. Regular checks help you track your progress, catch errors, and spot signs of identity theft early. It is especially important to know where you stand if you’re planning on applying for a loan or credit card. Knowing your score means that you can work to improve your credit before you apply.

You can establish credit by getting a secured credit card. These require a cash deposit, making them very easy to be approved for.  Alternatively, ask a friend or family member with good credit about becoming an authorized user on their credit card. Their good credit habits will benefit you. Other options include applying for a credit-builder loan or using rent and utility payment reporting services to show a history of on-time payments.