Most of us have heard about a credit score, but did you know that the actual name of your credit score is a FICO credit score? What exactly does this mean? For years the way that credit scores has seemed like an obscure game that big wigs play in a secret room without sharing with the public how it is calculated. The formula is complex and each credit bureau uses a different calculation model. This article has been designed to help you make sense of what a FICO score really is.

Credit cards are important to have on hand, especially in the case of an emergency. That is why everyone should have at least one credit card tucked away for unexpected situations that arise. Applying for a credit card has never been easier and can be done from the convenience of your own home.

You will first need to do a bit of research to determine which credit card is right for you. By using the Internet or reading reviews in personal finance magazines, choose a credit card that will fit your needs. Look at factors such as the interest rate, minimum payments, credit limit and any reward points you can earn by making specific purchases.

If you are trying to buy a house or car, you should find out exactly what's in your credit report and how to fix any errors or problems. Read on for the top 10 tips for monitoring and improving your credit.

1. You are entitled to one free credit report a year from the three credit bureaus. You are also entitled to a free copy of your report any time your credit application is denied.

2. Fraud and identity theft can severely impact your credit rating. One of the reasons it is important to monitor your credit is because of widespread problems with identity theft. Always report fraud immediately and ask for a fraud warning to be put in your credit file.