What is ScoreTracker?
With all that is happening in the world right now, financial stresses are an area of concern. In the current climate, there are financial stresses. With the right score, you can save thousands of dollars in interest. Whether you are looking to increase your score significantly or just by 10-20 points, there is a methodology that can get you there. SmartCredit has cutting edge tools that work really well in increasing your score. With our system, the average consumer can increase their score by 61 points in just 20 days*. One of our innovative tools in our platform is ScoreTracker.
ScoreTracker is a unique feature in our system that lets you view all your different scores. You get an in-depth look at the different types of scores you have and see where you stand. You also get to see how your scores change over time. This feature provides your following scores:
- Credit Score
- Auto Score
- Insurance Score
- Hiring Risk Index
Our easy to read graph and explanations are essential for understanding where your credit score is at and where it can be. If you get a low rating, you will see a breakdown of where you stand. You would fall into excellent, very good, average, poor, bad, or not rated. You will then see the specific score factors that are impacting your score. Based on your credit report data, this is a depiction of your creditworthiness. There are several factors taken into account that will determine your credit score. The elements making the most significant impact are listed below. Remember that these factors vary in how strongly they impact your credit score.
Our first feature gives you positive score factors. In essence, it explains the reasons why your score would be high. An example of a positive credit score factor would be: total of all balances on bankcard or revolving accounts is not too high. We then go into more depth about it.
The next feature will talk about what you can do on your end. For example, keeping low balances on all your accounts. Education is critical in increasing your score. Other examples of reasons for positive scores include:
- The largest credit limit on open bankcard or revolving accounts is not too low.
- Few or no installment accounts with delinquent or derogatory payment status.
- There are no or only a few recent delinquencies on your accounts.
If your score is negative, our platform explains the factors. For example, your oldest account is too recent. A credit file containing more past accounts will positively impact your credit score because it demonstrates that you can manage credit. An example of what you can do would be to not open more accounts than you need. Research shows that new accounts indicate greater risk. Your score will benefit as your accounts get older. The great aspect of the platform is that it gives you the necessary information based on your needs. Our system is customized case by case. Other examples of why you could have a negative credit score include:
- You have too many delinquent or derogatory accounts.
- Too many bankcard or revolving accounts with delinquent or derogatory status.
- The balances on your accounts are too high compared to loan amounts.
- You have too many inquiries on your credit report.
The auto score is your Auto Industry Optional Score. It is used by those looking to determine your auto loan. Over 90% of all Auto lenders require this Auto Industry Optional Score to be used instead of your standard Credit Score. It is imperative to understand this score and how to keep it high. This is a specialized score that is different from your credit score. It is used by the Auto Industry to look more closely at problems with your credit report.
When you shop for your new car, most Auto dealers will ask you if you know your “credit score” when they are about to start the financing process. Auto dealers will not tell you they are making their lending and financing decisions based on a much different scoring scale.
The Auto Industry Optional Score is not used on an on-going basis by your creditor to determine financial stress while your loan is still open. If your Auto lender looks at your credit while you have an open auto loan, they would most likely look at your regular credit score. They want to see the sudden credit stress and risk of you defaulting on the auto loan.
Your Insurance Industry Risk Score is a highly specialized score used by the Insurance industry to better understand your financial stress. It is used to find any prior defaults on insurance. Furthermore, this score determines if one has a propensity to make a fraudulent insurance claim due to financial stresses.
This score is unique to the Insurance industry and is used when you apply for any type of insurance. Generally, if this Insurance Industry Risk Score is low, it results in higher premiums on your insurance or a denial. This Insurance Industry Risk Score is usually not used to check on your credit status between your premium periods. Your Insurance company might only check this score once a year upon your renewal or your initial insurance application.
Any time you apply for Life insurance exceeding $150,000, the Insurer will check your credit and possibly use this Insurance Industry Risk Score to evaluate your overall risk. There is a possibility to deny you coverage as a result if your score is not adequate. Certain state laws do not permit insurance companies to use your credit to evaluate you.
Hiring Risk Index
This index looks into many factors used by Employers in their hiring decisions. They could choose to look at your credit as part of their hiring or employee promoting needs. Now, this is becoming more common. Currently, over 45% of Employers in the United States use your credit. They do this to determine your resume’s validity, your stability, verify your education (via a history of student loans), and your overall creditworthiness. For most employment positions paying over $75,000 annually, future employers will check your credit.
It is very unusual for an employer to check your credit during your employment unless you are up for a promotion or you are a high-security employee. The main thing to keep in mind is that an employer must get your prior permission to check your credit. Our innovative tool ScoreTracker will help you with all your financial needs.
*Your results may vary and are not guaranteed.