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Banks now giving customers access to credit scores for free

 
Published March 10, 2016

CHARLOTTE, N.C. — Big banks and credit card companies are increasingly offering customers free access to their FICO score, widely used by lenders to determine how risky you are when they are deciding whether to issue a new credit card, mortgage or auto loan.

A borrower's FICO score is used in 90 percent of lending decisions, but until recently a person had to pay for it — if it was available at all.

Discover Financial was the first major credit card issuer to give its customers access to their FICO scores in 2013, but banks like JPMorgan Chase and Citigroup among others have adopted the program in the past year.

Knowing your credit score can help you negotiate for better rates and shop for better loan deals. Also, if you know your score is weak, you can work to improve it and possibly save hundreds of dollars on a future loan, or thousands of dollars on a mortgage.

Because of the lack of availability, FICO estimates that only half of Americans have accessed their score in the past year and far more don't know what their score is. Jim Weh­mann, executive vice president of scores for FICO, estimates 100 million Americans now have access to their FICO score through a credit card or their bank.

The average U.S. credit score is about 695, FICO says.