A credit score is a number used to determine a person's creditworthiness and ability to pay back a loan. The key factors that go into credit score are payment history, accounts owed and credit usage, length of credit, new credit inquiries, and types of credit you use.
Improving your credit score can help you get the best rates and terms when applying for a loan, open a checking account, secure a cellphone contract, and even obtain low insurance rates.
The best way to improve your credit score is to pay your bills on time. You can also improve your credit score by checking your credit report for errors and using an app like Mint to monitor your score.