The oft-asked question is that at which age on the full age retirement chart should one begin collecting his/her Social Security benefits? The answer lies in what one’s “full” or “normal” retirement age is. Earlier, one could begin collecting benefits, although reduced, at age 62 or one could wait until they were 65. Now, full retirement is according to the year one is born in and that makes the age anywhere between 65 and 67 years. If you wait it out, you end up getting a higher monthly check. If you take reduced benefits now, then you could offset reductions in many ways. How does one decide? Here’s the aspects that one needs to consider:
Putting it off
Taking on benefits early can cost individuals. For instance, if one’s full retirement age (FRA) is 67, then their reduced benefits are:
– 6.7% if begun at 66,
– 13.3% if begun at 65,
– 20% if begun at 64,
– 25% if begun at 63, and
– 30% if begun at 62.
Generally, the better thing is to postpone taking the benefits for as long as it is possible for one. One advantage is that delaying benefits keeps the monthly sums as large as possible and helps boost future income. For instance, if one’s FRA is 66 and he delays taking benefits until he’s 67, he’ll get 108% of his monthly benefit. The same will jump to 132% if he waits until 70! A second advantage of delaying benefits is applying for Medicare at 65 years of age.
Early benefits
Early benefits could pay off too. Since no one can predict how long one will live, and if one is facing a problem where there is shortage of income and reduction in life expectancy, then taking Social Security benefits earlier can benefit. Only, one should budget for it. Another point to note is that it makes sense for married women to take early benefits, because they will outlive their husbands in all likelihood, but only if husbands don’t take their benefits early.
Calculating your break-even
The break-even age is when the total value of the postponed higher benefits exceeds the total value of early lower benefits. However, one should understand that there is no one right age that suits everyone. One should consider their post-retirement plans and health and financial needs when it comes to calculating a start date for Social Security benefits.
There are companies that work on collecting and maintaining credit information of consumers. These are known as credit reporting agencies (CRAs). There are three such major CRAs in the country, namely Equifax, Experian, and TransUnion. Apart from these, there are other smaller-scale agencies too that specialize at the job. If you’re worried about “where to get my credit score?,” the larger CRAs are the most reliable bets.
These major CRAs obtain information from companies that you hold business and transactions with. People or companies that lend you money regularly report to these CRAs on your repaying status. There is also detailed information on the amount you are indebted and whether you have ever defaulted on your payments. Aside from the reports obtained from lenders, these companies also tally your general records based on certain other aspects. Some of these aspects are your public records from the local and state judiciary. These include your tax records and bankruptcy information. This information makes up an important chunk of your credit score and its report.
Equifax
Present in 24 countries, Equifax is an agency that offers consumers protection against identity theft and credit fraudulence. They also sell credit reports and credit monitoring assistance to businesses.
Experian
Experian started off in London and is now a trusted agency in 39 different countries. It provides you with a credit score, credit report, and even credit tracker on subscription. The agency uses FICO 8 system of credit score calculation. Experian was a part of Forbes’ “World’s Most Innovative Companies” in 2018.
TransUnion
Based across 30 countries with a database of over 1 billion consumers, TransUnion is another CRA giant. The agency, like the other ones, will provide you with your credit score and your credit reports. In case you decide to freeze your TransUnion credit report, it will also go the extra mile to notify Equifax and Experian, which frankly is a big help especially in case of identity theft and credit fraud.
So, the next time you are sat wondering “where to get my credit score?,” think of these three giants that provide you with an annual credit score and credit report for free once each year. However, if you are looking for more frequent updates, you can subscribe to their services and receive your monthly updates.
Did you know that you have more than a single credit score? Agencies calculate your credit score based on the data in your credit reports. If you are wondering, “where to get my credit score?,” there are three main credit reporting agencies. These can have different credit scores for you if your information on each of their credit reports is different. Also, these agencies charge a fee to reveal your credit score.
Recently, it has become easier to track and get hold of your credit score without paying any fees. You can get it from your credit card company, your loan provider, and even from a non-profit counselor. Here are a few tips you can use to check your score.