Your credit score affects everything from the interest rate on your home mortgage, your credit card rates,  whether you are approved to rent an apartment, and even your car insurance premiums, but still, many consumers still don't worry about their credit scores.

A recent survey by GoFreeCredit.com over the internet, found that less than 10% of U.S consumers even know what their current Credit Score is today. Another survey released by the Consumer Federation of America found that a great deal of U.S. consumers do not have a good understanding of what their Credit Reports entail, or how their Credit Score effect them.

To simply Credit Scores, a high credit score indicates a consumer is a low credit risk in terms of making payments on a loan and paying their bills; a low credit score is a sign of trouble for banks and lenders if they are considering you for a loan, a credit card, or any type of credit.

If you have a credit score below 600 then you will probably have to pay above average interest rates on a loan, if you can get one at all. Consumers with credit scores above 700 typically have the luxury of being easily approved for loans while also securing a lower interest rate.

Most credit scoring calculations examine the total amount of a consumer’s outstanding debt compared with their overall credit limits from all their loans, credit cards, etc. Borrowers who have maxed out on their credit cards are obviously considered riskier because they are more likely to have troubles paying their bills, and paying their bills on time.

Consumers who are using credit and using it responsibly typically see higher credit scores than people that do not even have any loans or credit cards.

Do your best to pay all your bills on time – that will greatly help your credit score. Your Credit Report and Credit Score changes every month as new credit information comes into the credit agencies.