Atlanta, GA -- (SBWire) -- 11/03/2011 --Renting a car. Interviewing for a new job. Applying for a gas station credit card.

These three scenarios all share one very important thing in common: they will probably include a credit check.

While most people would expect a credit check as part of applying for a new loan, many are genuinely surprised at just how often their scores are examined. Credit scores are also used to determine what type of interest rate will be offered on a loan. These are all reasons why financial experts agree that keeping tabs on credit scores is important.

A website has gotten a lot of attention lately for its helpful advice about how to obtain a free credit score. Credit Ratings 101 also explains how credit ratings and credit scores are calculated, and shows through easy-to-understand math how even the slightest drop in a credit score can greatly impact how much interest is added over the life of a loan.

The main credit score that most lenders are interested in is called a FICO score. While many people believe that they can obtain a free FICO score through the government, this is not really the case.

“The reason this rumour or misconception exists is because of the FCRA (Fair Credit Reporting Act) which states that each of the credit bureaus must provide individuals with one free copy of their credit REPORT every twelve months,” the company’s website noted, adding that these credit reports contain all of the credit information that has been collected on each individual, but they do not contain a free credit score, gov supplied.

To get a credit score free, Credit Ratings 101 reviews companies that do offer this type of information at no charge and lists on the home page the top sites to get a free credit score online. As the website cautions, there do tend to be some strings attached, like having to sign up for a subscription service usually called a credit monitoring program. But canceling during the trial period can help avoid any charges.

After obtaining the free credit score, government based loans like an FHA insured loan may be pursued by some borrowers who now know they have a good enough FICO score to be approved.

About Credit Ratings 101:
Credit Ratings 101 was set up to help people understand how credit ratings and credit scores are calculated; the aim has always been and will always be to provide the most relevant and up to date information on the topic. It also provides advice on credit repair and how individuals can get their scores for free. For more information, please visit http://www.creditratings101.com/free-credit-score