1. Understanding Your Credit Presented by Stephen McQueen, CPA, of the Financial Literacy Committee of the Colorado Society of CPAs

2. Understanding Credit - Outline Homework Review Importance of Credit Report Sample Credit Report - Review Fixing Incorrect Info on Credit Report How is a Credit Score Developed FICO Score Ranges Improving Your Credit Score Go Forward with Credit Reports

3. One of my most prized assets is my good credit rating…Unknown - Homework Review - How many were able to run their report? Any hangups, issues? Any surprises, or inaccurate information?

4. Remember that credit is money…Benjamin Franklin - Importance of Credit Report - Who is using a credit report to evaluate us? When we dont have cash to buy something Cost of bad credit

5. No Mans Credit is Ever as Good as His Money…Edgar Watson Howe -Sample Credit Report – See Attached

6. The Creditor Hath a Better Memory than the Debtor…James Howell -Fixing Incorrect Info on Credit Report – Contact both bureau and credit grantor Dispute in writing Identify dispute, include copies of documents Send by certified mail, return receipt Process could take up to 90 days

7. Friendship, Like Credit, is Highest When it is not Used…Elbert Hubbard - How is a FICO Score Developed – (35%) Payment History (30%) Amounts Owed (15%) Length of Credit History (10%) New Credit (10%) Type of Credit Used What information in not included in FICO score?

8. The Surest Way to Establish Your Credit is to Work Yourself into the Position of Not Needing Any…Maurice Switzer -FICO (Fair Isaac Corporation) Score Ranges (300 – 499)Very Poor2% (500 – 599)Poor13% (600 – 670)Good12% (671 – 759)Very Good33% (760 – 850)Great40% 723 is the Median FICO score

9. Repairing Bad Credit is a Bit Like Losing Weight, it Takes Time and There is No Quick Fix…MyFicoScore.com -Improving Your Credit Score – Run your credit report, annually/consistently Set up payment reminders, and/or auto-pay Rate shop loans within focused period of time Dont open several new credit cards Pay bills on time Review statements regularly and carefully Keep list of card/bank account numbers Open different types of credit

10. Many a Man Thinks he is Buying Pleasure, When he is Really Selling Himself to it…Ben Franklin -Credit Repair Companies – Promises to repair credit and wipe out debt Choosing a credit counselor Can be a difficult process How do you determine if a counselor is reputable? Questions to ask http://www.ftc.gov/bcp/edu/microsites/moneym atters/index.html

11. A Penny Earned is a Penny Saved…Benjamin Franklin -Go Forward with Credit Reports – Should run report 1/year, it is free www.annualcreditreport.com Run all 3 together, or one every 4 months Equifax, Experian & TransUnion FICO score, credit monitoring Keep report safe

12. Questions/Comments?