In the US, your credit score weighs on things that seem unrelated: renting an apartment, financing a car, opening a card and sometimes even signing up for internet service. For people arriving from Brazil, the first shock is often this: the financial life you built here does not show up there. Understanding how the score works is the fastest way to start off right.
What a credit score is
It is a number that banks, card companies and other lenders use to estimate how likely you are to repay what you borrow. A higher score can make loans easier to get and may lead to lower interest rates. Many scores range from 300 to 850, but the range varies by company. And you can have several scores, because lenders use different formulas for different products.
The score comes from your credit report, with information that lenders send to the three major credit reporting companies: Equifax, Experian and TransUnion.
What affects the score
- the number of credit accounts you have;
- how long you have had those accounts;
- how much of your limit you use, that is, your balance compared to your limit;
- how often you pay late.
How to get your reports for free
You are entitled to one free report from each of the three companies every 12 months, at annualcreditreport.com or by phone at 877-322-8228. Equifax also offers six free reports every 12 months through December 31, 2026. Check for errors: wrong personal details, accounts that are not yours, or late payments you did not make. To dispute an error, contact the credit reporting company and the company that reported the information, and include supporting documents.
Habits that build credit
- Pay everything on time. This weighs the most. Autopay or reminders help, and if you were late, get current and stay current.
- Keep balances low. Experts advise using no more than 30% of your total credit limit.
- Keep older accounts open. A longer history helps your score.
- Be careful when closing cards or moving several balances onto one card: that can raise the share of your limit you use.
- Avoid opening accounts all the time. Apply for credit only when you need it.
In practice, for people who just arrived
In general, newcomers start with no US credit history, and the score only forms once you have accounts and pay them on time. That is why it is worth opening, early on, the accounts you will really use, and always paying within the deadline. The order of which documents to get on arrival is in the article which documents to get in the US, and the tax rules are in US taxes: resident or nonresident.