1. Bell Work - Tuesday, May 17th
In your own words, define what a “credit score” is and why you think it either is or is not important to your life currently and in the future.
How can you improve your credit score?
What actions make your credit score go down?
What is a good credit score?

2. Agenda
Bell Work and discussion
Credit Score notes
Vocabulary
Check and record stocks
Make sure that Everfi is finished!!!
ToD Questions

3. Credit Score
A credit score measures how likely you are to pay back any new debt.
Helps businesses decide how risky you are.
You will get better loan terms with better credit.
You may be denied or get high interest with lower credit.
Employers can check it to see if you’re responsible.
Landlords can check it to make rental decisions.
Credit cards can be denied or have high interest
Can even dictate your cell policy and phone type.

4. Credit Scores
Credit Bureaus track your credit history and calculate your score. There are 3 in the U.S.
Transunion, Equifax, Experian
We don’t know exactly how they are calculated
3 different credit scores (Usually close together)

5. Credit Score
What we do know about your credit score calculation…
Payment History - 35%
Amounts Owed - 30%
Length of Credit History - 15%
New Credit - 10%
Every time you apply for more credit your score drops a bit.
Types of Credit Used - 10%
Mix of credit types is good (credit cards, car loans, mortgage)

6. https://www.annualcreditreport.com Credit Score
You are entitled to 1 free credit report a year from each of the three credit bureaus (Experian, Equifax, and Transunion)
It is a good idea to check your credit scores at least once a year to check for inaccuracies.
If you find mistakes you should contact the credit bureau to fix any errors.

7. Flash Cards and Questions
Read pp Answer Questions 2,3,4,5
Vocabulary:
Trade off
Opportunity Cost
Marginal Cost
Marginal Benefit
Analysis
Cost Benefit
(Word, Definition, Example or nonexample, Memory clue)