This number is generated from the results of your credit report. Your credit score is calculated based on your ability to pay back any money borrowed. Having a healthy credit score is essential if you want to borrow money to buy a house or a car, or get a cellphone contract or open a clothing account. Lenders use this score to decide whether to lend to you and on what terms. Credit scores can range from 300 to 850, though some credit score providers may use a narrower range.