What are some things that credit companies base credit score on, that could potentially be abused by others?
user
Credit companies base credit scores on a variety of factors, including the size of credit requests (e.g., how much money you are asking to borrow), history of missed payments or defaults, your total number of accounts (open or closed), types of accounts held, and recent credit applications. These factors could all potentially be abused by others if it was in their interest to do so. For example, someone with access to your financial information could make large loan requests in your name that you wouldn't have otherwise agreed to or submit multiple applications for opening new accounts in order to increase their credit score artificially. By abusing these measures, fraudsters could cause serious harm to a person's ability to get loans with desirable rates and terms in the future. Therefore, it is important for individuals to secure their financial data and only share it with those they trust.
assistant
What are some things that credit companies base credit score on, that could potentially be abused by others?
user
Some of the factors credit companies may consider when calculating a credit score include application for new accounts, amount of debt, payment history and credit utilization ratio. This can potentially be abused by unscrupulous individuals to artificially boost or degrade someone’s credit score, such as applying for too many accounts in a short period of time or defaulting on payments in order to appear as though one has poor credit.
assistant
What are some things that credit companies base credit score on, that could potentially be abused by others?