Issue link: https://nest.uberflip.com/i/1198770
Y ou may know your budget and the number of rooms you need, but do you know your credit score? Also called a FICO score, your credit rating is a number that expresses your creditworthiness, i.e., whether or not you're a risk to lenders based on your previous financial history. After your social security number, your FICO credit score is the most important number in your financial life. So why does your credit score matter so much if you're renting property? Because it details your history of paying off—or not paying off—debts. A landlord uses it to see how likely you are to pay your rent on time. History often (and most likely) informs future. The lower your credit score, the less likely your property manager is to accept your rental application. That means this three-digit score could make the difference between landing that dream two-bedroom or settling for a so-so pad with dated appliances. Which brings to mind the age old question: What's the lowest credit score you need to rent an apartment? YOUR CREDIT SCORE How Low is Too Low—And Who's Making the Decisions Anyway? BREAKING DOWN A CREDIT SCORE A credit score can range from 300 to 850. But don't worry if you haven't hit magic number 850. Anything above 750 is generally considered an excellent credit score. From there, credit scores are considered good (700 to 749), fair (650 to 699), or poor (lower than 650). HOW CREDIT SCORES ARE CALCULATED C redit scores are calculated by the credit bureaus Experian, Equifax, and TransUnion. Defined below are the five key factors the bureaus use that impact your credit score and how they are weighted: Payment history (35%): The single most important factor in determining your credit score is your track record of payments for credit cards, installment loans, and mortgage loans.