Everyone knows the value of having a good credit score — apply for mortgages or credit cards and get the lowest interest rate possible because you have a 721 FICO Score. There are also a lot of Americans, especially in today’s economic times, who know how difficult it is to even qualify for those same mortgages and credit cards with a 521 FICO Score.

The credit score you get isn’t always the same score a lender looks at when deciding whether to give you a mortgage, credit card or auto loan.

Part of rebuilding your credit is proving that you can pay your bills on time. If your bad credit episode left you without any credit cards, you’ll have to open new ones.

FICO stands for the Fair Isaac Corporation, and you can thank them for the credit scores that most major lenders use to determine if you’re worthy of a mortgage. FICO takes the scores from all three major credit bureaus and combines them into one score. The credit score is a big part of the formula when it comes to determining whether you get a loan. A low score can get you in the door, but a high score will get you much farther.

In an effort to clean your cluttered finances, you close three zero balance credit card accounts. Lightening your wallet feels good now, but the potential hit to your FICO Score could weigh you down later.